Following yesterday announcement that the first tranche of Eur 30bln of bank aid is to be disbursed to Spain, the UK’s Guardian obtained a draft memorandum of understanding between Madrid and the Eurozone authorities, stipulating that PM Rajoy’s government must come up with tax increases, cuts and measures that could wipe out savings for a lot of Spaniards .
The memorandum will be finalised on the 20th July
“Spanish authorities should present by end-July a multi-annual budgetary plan for 2013-14, which fully specifies the structural measures that are necessary to achieve the correction of the excessive deficit,” the draft states.
