Mariano Rajoy, Spain’s prime minister, yesterday attempted to portray his country’s decision to seek as much as €100bn in eurozone rescue funds for troubled domestic banks as a victory, saying his government’s budget prudence prevented a full-scale bailout that would have forced him to surrender sovereignty to Brussels.
Spain has now become the fourth and the largest eurozone economy to seek an international bailout, though Mr Rajoy insisted the agreed loan from EU rescue funds was solely to recapitalise banks.
Greece, Ireland and Portugal have all been obliged to seek bailouts from the EU and the International Monetary Fund over the past two years as a result of the financial crisis.
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