Euro zone

EU Makes Spain Bailout Deal

30 billion euros will be ready by month’s end.

European Union finance ministers agreed on the terms of a bailout for Spain’s banks. Finance ministers for the 17 countries that use the Euro will return to Brussels on July 20 to finalize the agreement, but 30 billion euros can be ready by the end of the month. Overall, Dutch finance minister Jan Kees de Jager said Spanish banks will most likely receive 100 billion euros. Under the agreement, finance ministers from all 27 European Union countries are expected to approve a one-year extension, until 2014, of Spain’s deadline for achieving a budget deficit of 3 percent. Additionally, specific banks will have specific conditions associated with the agreement. Eurozone chief Jean-Claude Juncker said, “We are convinced that this conditionality will succeed in addressing the remaining weakness in the Spanish banking sector.”