Spain says no need for bailout right now

Associated Press
Spain's Prime Minister Mariano Rajoy arrives for a round table meeting at an EU summit in Brussels on Thursday, Dec. 13, 2012. In one whirlwind morning, the European Union nations agreed on the foundation of a fully-fledged banking union and Greece’s euro partners approved billions of euros in bailout loans that will prevent the nation from going bankrupt. (AP Photo/Geert Vanden Wijngaert)

MADRID (AP) — Prime Minister Mariano Rajoy says Spain currently has no need to tap a European financial aid program that would ease its borrowing costs, but does not rule it out in the future.

Rajoy told Cadena SER radio Friday that Spain would apply for help only when it was necessary and when it was in its best interests.

Asked if he thought the recession-hit country needs it, he said, "Today, no."

Rajoy acknowledged that Spain's borrowing costs have fallen sharply since the European Central Bank pledged in September to buy up troubled countries' short-term bonds if they apply for bailout aid.

Up to now, the government has people kept people guessing on the issue, saying it would make a decision once it knew all the conditions attached.