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Fitch agency says Spain bailout won't hurt rating

299 days ago

(AP:MADRID) Fitch ratings agency says a bailout request by Spain will not prompt negative credit rating action by the company.

Fitch said Friday that a rescue deal by European financial agencies and the European Central Bank in the form of bond purchases would ease borrowing pressure for Spain and provide it with breathing space to implement ambitious fiscal and economic reforms.

Standard & Poor's rating agency issued a similar statement Wednesday.

Spain has said it will consider asking for a bailout but it has called on EU authorities to state their conditions.

The country is suffering its second recession in three years following the collapse of its property market. Unemployment is near 25 percent.

Madrid has already asked for up to (EURO)100 billion ($125.5 billion) in aid for its troubled banks.

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