How To Guides
- Childbirth & Education
- Legal Formalities
- Pensions & Benefits
- Property & Accommodation
Did you know...?
- Airports and Airlines Spain
- Paramount Theme Park Murcia Spain
- Corvera International Airport Murcia Spain
- Daily Brief - Friday 11 July 2014
- Things that have annoyed me this week
- Meet Wincham at The Homes, Gardens & Lifestyle Show, Calpe
- QROPS 2014
- Spain Increases IHT in Valencia & Murcia
- Removals to Spain v Exports from Spain
- The Charm of Seville
- Gibraltar Relations
- Pensioners 'misled' by Co-op Bank
- UK Inflation no problem for Governor Carney
- Retiro Park : Madrid
- Wincham announce opening of Marbella office
- Community Insurance in Spain
- Calendar Girls
- Considerations when Insuring your Boat in Spain
IMF Discuss Contingency Plans for Spain
The International Monetary Fund has begun discussions over a contingency plan to bail out Spain should it fail to raise the necessary funds to bail out failed Spanish bank, Bankia.
According to sources close to the discussions, Spain is struggling to raise the remaining €10 billion it needs to rescue Bankia from collapse.
Neither the IMF or European Union have the stomach to provide a bailout for Spain to shore up it's banking sector, especially as there are already 3 bailouts currently in progress for Greece, Portugal and Ireland. Additionally, the backlash from the Spanish public could be huge should the nation be forced into a Greek style handout, especially if the rumours of a €300 billion rescue package over 3 years be required.
It has been cited that Bankia's woes are the result of the Spanish property market crash and the serious econmic downturn. However, poor management, over inflated executive pay and huge multi-million euro bonuses for failure are the more likely explanations.
Bankia former senior executive, Aurelio Izquierdo, is reported to receive €14 Million in compensation for losing his job. The compensation for former Chief Executive, Rodrigo Rato, has not been revealed.
Latest News & Stories
- New Socialist leader out to attract Spain’s angry voters
- Spain June retail sales rise 0.2 pct y/y - INE
- Spanish wind power plummets following subsidy cut
- Spanish Unions plan invasion of Gibraltar
- Spain to revise economic growth forecasts for 2014, 2015
- Orange Spain launches 4G home internet service
- Falling food prices in Spain hit Q2 sales at Dia
- Spain sees revenue from foreign tourism grow 7.8% 2014 to date
- Bankia's profit jumps as Spain's economy picks up, bad debts fall
- Gay community in Spain most affected by hate crime