Fri May 25, 2012
Spaniards Withdraw Money Over Bank Failure Fears
Originally published on Fri May 25, 2012 5:24 pm
Any rescue of Spain's banking system could exceed the cost of Greece's total bailout. That has investors worried, after Madrid was forced to nationalize its largest real estate lender. The previous government's strategy was to force mergers among the small banks, to try to combine assets and strengthen them against debts. But what has resulted is simply bigger banks with bigger debts.