Spain’s government unveils a new belt-tightening budget, but puts off requesting a bailout. Mariano Rajoy’s conservatives don't just find themselves caught between creditors and angry voters at home. Now, the crisis is fuelling fresh calls for regional autonomy and even independence.
Spain’s government unveils a new belt-tightening budget, but puts off requesting a bailout. Mariano Rajoy’s conservatives don't just find themselves caught between creditors and angry voters at home. Now, the crisis is fuelling fresh calls for regional autonomy and even independence.
Clashes erupted in the heart of the Greek capital on Wednesday after at least 50,000 people marched on the parliament to protest against billions of euros in new austerity cuts. The demonstration was one of the biggest in Greece for over a year.
In a sudden reversal, Portugal’s government has agreed to explore alternative solutions to a social security tax hike, a measure that sparked the worst public backlash to austerity the country has seen since negotiating an EU/IMF bailout last year.
Spanish Prime Minister Mariano Rajoy hinted for the first time on Friday that he might request an EU bailout for his country, saying that his decision would be contigent on the exact terms of such a deal.
Eurozone leaders hoping for a summer respite from the debt crisis will be sorely disappointed, amid fresh signs that Greece is unable to pay back its debts, Spanish stocks that continue to slump after borrowing costs hit a new record, and Germany - the sole engine of growth in the eurozone - hit with a warning from the ratings agencies.... So, is Moody's right?
Moody's downgraded the economic outlook for Germany from "stable" to "negative" on Monday along with outlooks for the Netherlands and Luxembourg, citing risks from a possible Greek exit from the eurozone and potential bailouts for Spain and Italy.
Greece's new government on Tuesday appointed economist Yannis Stournaras as its finance minister as it begins to renegotiate the harsh terms of an unpopular bailout agreement. His predecessor resigned for health reasons five days after being named.
Cyprus on Monday announced it was applying for a eurozone bailout, claiming its banks have been hit hard by exposure to Greek debt. The nation needs 1.8 billion euros to recapitalise its leading bank, Cyprus Popular Bank.
The Spanish government on Monday officially requested a rescue loan of up to 100 billion euros from its eurozone partners to inject funds into its struggling banking sector.
