Spain has already received aid of up to 100 billion euros ($127.86 billion) from the euro zone to help it shore up its ailing banks and has made it clear it could seek a sovereign rescue once euro zone partners and the European Central Bank spell out what strings would be attached.
“I am absolutely convinced that everyone will be reasonable but I insist that we haven’t taken a decision,” Rajoy told Spanish state television in his first TV interview since winning power more than nine months ago.
No decision on a bailout would be taken ahead of the Sept. 14-15 meetings of euro zone and EU finance ministers, he added.
ECB President Mario Draghi on Thursday unveiled details of an unlimited bond-buying programme to ease the rates being paid by Spain and Italy for their sovereign debt.
But he said the bank would only act after a request to the euro zone rescue fund, something that would come with strict conditions.
“I will look at the conditions. I would not like, and I could not accept, being told which were the concrete policies where we had to cut,” Rajoy said.
Rajoy has raised income tax and value-added tax and pushed through billions of euros of austerity cuts, including in public services like education and health, but has not cut pensions. Pensions would not be scaled back in the 2013 budget, he promised.
“The first instruction I gave to the finance minister who is drawing up the budget is that the people it shouldn’t affect are the pensioners,” he said.
Despite reneging on his election campaign promise not to raise taxes, Rajoy ruled out a vote of no confidence, saying his measures were essential for the country to meet its deficit targets. DM
Photo: Spain PM Rajoy. (Reuters)
Want to watch Richard Poplak’s audition for SA’s Got Talent?
Who doesn’t? Alas, it was removed by the host site for prolific swearing*... Now that we’ve got your attention, we thought we’d take the opportunity to talk to you about the small matter of book burning and freedom of speech.
Since its release, Pieter-Louis Myburgh’s book Gangster State, has sparked numerous fascist-like behavior from certain members of the public (and the State). There have been planned book burnings, disrupted launches and Ace Magashule has openly called him a liar. And just to say thanks, a R10m defamation suit has been lodged against the author.
Pieter-Louis Myburgh is our latest Scorpio Investigative journalist recruit and we’re not going to let him and his crucial book be silenced. When the Cape Town launch was postponed, Maverick Insider stepped in and relocated it to a secure location so that Pieter-Louis’ revelations could be heard by the public. If we’ve learnt one thing over the past ten years it is this: when anyone tries to infringe on our constitutional rights, we have to fight back. Every day, our journalists are uncovering more details and evidence of State Capture and its various reincarnations. The rot is deep and the threats, like this recent one to freedom of speech, are real. You can support the cause by becoming an Insider and help free the speech that can make a difference.
*No video of Richard Poplak auditioning for SA’s Got Talent actually exists. Unless it does and we don’t know about it please send it through.
In 1952 Wernher von Braun wrote a paper where he believed a colony on Mars would be led by an individual named "Elon".