Osborne criticises Spain bailout
George Osborne has said the failure of the Spanish bank bailout is "depressing" as the banks had to be directly recapitalised into to convince the markets of its credibility. Spain's borrowing costs have hit the highest level for 13 years.
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Germany takes tough line over euro crisis solutions
George Osborne criticises Spanish bailout
George Osborne brands the Spanish bail-out as 'depressing' as the Government began paying more to borrow money than ever before.
Read the full storyGermany takes tough line over euro crisis solutions
Andreas Dombret, a board member of the Bundesbank, explains in a rare interview Germany's tough stance over euro crisis solutions.
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Osborne: Failure of Spanish bailout is 'depressing' and 'frustrating'
The Chancellor George Osborne has told an event hosted by The Times that the failure of the Spanish bank bailout is "depressing" and "frustrating" as he warned that the banks needed to be recapitalised directly in order to convince the markets:
What is depressing ... is that everyone said to the eurozone that if you do not directly recapitalise these banks, if you do it via the Spanish sovereign, then you are not going to convince the market the Spanish sovereign is entirely credible... and yet they went ahead down this route.
The frustrating thing about all of this ...if we are always in our reaction to every problem is ‘too little too late, not quite enough,’ then we are going to have a long period of uncertainty and fragility within the eurozone.
European Central Bank's outlook on the Euro crisis
In a statement released by the European Central Bank, the financial body says the overall outlook for financial stability remains "challenging" in the Euro area.
Some of the key aims made in the statement include:
- Member States should step up their initiatives to strengthen the fiscal and banking components of a robust monetary union.
- There remains a clear need for a continued focus on tackling the root causes of the crisis, and a comprehensive response remains key to decisively ending a spiral of systemic risk augmentation.
- An effective use of the financial backstops is needed to halt the downward spiral of self-fulfilling dynamics in the pernicious interplay between sovereign, banking and macroeconomic forces.
ECB calls for 'concerted and comprehensive action'
by Laura Kuenssberg - Business EditorIn a statement from the European Central Bank regarding the eurozone crisis, the bank states there needs to be ''concerted and comprehensive action" to halt the "downward spiral" with "pernicious interplay".
Shares in three Italian banks suspended
by Laura Kuenssberg - Business EditorShares have been suspended in three Italian banks after their share prices drop more than 5 percent.
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Did the Spanish bank bailout actually happen?
With 18 of Spain's banks downgraded and the country's cost of borrowing rising, it begs the question: did the bail out happen at all?
Read the full storySpanish banks struggle to get hold of credit
by Richard Edgar - Economics EditorThe euro crisis is making it difficult and expensive for Spanish banks to get hold of credit, deduces Fitch.
Fitch Ratings downgrades 18 Spanish banks
Fitch Ratings has downgraded 18 Spanish banks' Long-term Issuer Default Ratings (IDR) and 15 banks' Viability Ratings (VR).
European markets up despite initial lacklustre reaction to Spain bailout
European markets were in positive territory today despite the lacklustre reaction to the weekend rescue of Spain's ailing banks.
The FTSE 100 Index was up 9.3 points at 5441.7, while the Dax and Cac40 were moderately higher in Frankfurt and Paris as investors remained lukewarm about the latest moves to shore up the eurozone.