Spanish Prime Minister Mariano Rajoy said Monday that he will reverse policy, and pump public funds into the Spanish banking system to prop up the ailing institutions.
Won’t be long before Italy joins suit in a TARP style bank bailout. That would be LONA en espanol.
QE to INFINITY….AND BEYOND!!!
– Spain may inject public funds into banking sector
– Move signals change of policy
– Spain preparing a clean-up of retail banks
MADRID (Dow Jones)–Spain may pump public funds into its banking system to revive lending and its recessionary economy, Prime Minister Mariano Rajoy said Monday, signalling a policy U-turn.
The government had pledged to not give money to the banking industry that is struggling in the wake of a collapsed, decade-long, housing boom.
“If it was necessary to reactivate credit, to save the Spanish financial system, ..