Spain Does Not Need Bailout, De Guindos Says

Spain Does Not Need Bailout, De Guindos Says

Spanish Economy Minister Luis de Guindos on Thursday insisted that his country does not need a bailout, despite rumors that the troubled euro member may request European aid as soon as this weekend.

"Spain does not need a bailout at all," he said in a speech in London. De Guindos' speech was interrupted several times by a group of audience holding up a banner saying "Spain for sale."

The minister's remarks came a couple of days after Prime Minister Mariyano Rajoy denied reports that Spain is planning to seek a bailout at the upcoming meeting of Eurozone finance ministers on October 8.

De Guindos termed the ECB plan to purchase bonds, which is tied to certain conditionality, as "a situation not very far" from what "we have now in Spain" in terms of both budgetary and economic policies.

Bank of Spain Governor Luis Maria Linde said Thursday that the government is overly optimistic about the economy in 2013 and risks missing the deficit goal of 4.5 percent of GDP if it fails to consider further measures this year.