Maria Bartoromo interviewed Spain’s Zapatero today and reports that Spain is trying to line up investment from sovereign wealth funds.
He denied the Spanish banking system will endure anything like EUR 50 bln in write-downs on bad real estate loans.
Spanish bondholders will not take a haircut, the PM said.
The EU has created a tremendous amount of moral hazard with the various bailouts this year…why wouldn’t a SWF invest? The EU/IMF is never far away…
