Related
Spain: New law protects Andalusia’s vulnerable from… 11/04/2013 15:45 CET
Spain’s biggest lender set to close branches 17/12/2012 14:06 CET
A poisonous September for Spain’s bank debt 19/11/2012 15:11 CET
Santander’s Mexican sell-off 26/09/2012 19:07 CET
Moody’s downgrades Spain’s banks 26/06/2012 05:33 CET
Moody’s credit agency appears to have Spain in its sights. Only one day after delivering a sovereign downgrade to the country it has now cut the debt ratings of ten of its regions.
Most were reduced by one or two notches but one region, Castile-La Mancha, was hit with a five point reduction.
The agency said that large financing needs alongside limited access to long term funding sources have forced the regions to deplete their cash reserves.
The news follows yesterday’s warning that Spain’s inability to fund its public deficit would be further exacerbated by slow growth, forecast at 1% GDP at best.
It will be a major challenge for whichever government wins the next general election in November.
More about: Banking, Financial Crisis, Markets, Moody’s, SpainCopyright © 2013 euronews
JavaScript is required in order to view this article’s accompanying video
Top Stories
Syria army ‘in centre’ of Qusair amid assault on rebel town
Syrian government forces have launched a major offensive to retake the strategically important rebel stronghold of Qusair, near Lebanon. Syrian officials say the army have taken control of key points in the the city…
Salafists clash with police in Tunisia after rally is banned
Police have clashed with hardline Islamists in Tunisia after the government banned their annual…
Chinese PM Li Keqiang in India to boost trade and ease…
China's new prime minister is making his first trip abroad since taking office in March, arriving…
