Eurozone Live Blog
Spanish Prime Minister Mariano Rajoy says his country will await the results of two audits of its stricken banks before finalising a request for European funds to aid in their recapitalisation.
Spain will await the results of two audits of its stricken banks before finalising a request for European funds to aid in their recapitalisation, Prime Minister Mariano Rajoy said on Tuesday.
Spain came under pressure from the leaders of the world's most powerful economies at the G20 summit in Mexico to move quickly to resolve its debt crisis, which has threatened the stability of the entire eurozone financial sector.
But, before leaving the annual get-together, Rajoy said his government was still in the process of negotiating the "memorandum" governing a deal that it only accepted reluctantly and still refuses to refer to as a bailout.
On June 9, Spain's government made an agreement for its eurozone partners to extend a rescue loan of up to 100 billion euros ($125b) to salvage its crisis-hit banks but, ahead of the deal, Madrid had requested two audits.
The first, due by Thursday, inspected banks' balance sheets and is expected to reveal how much capital they require to be able to withstand financial stress.