Spain reduces Borrowing Cost
It seems that everything is going well with Spain, since the time the European Central Bank has pledged that they will support the debt ridden countries. It is the time, when Spain's borrowing cost also decline, which was at its peak in the summer.
However, with passage of time, Spain has been making modest advancements. Recently, it has been revealed that the country has been able to beat its short term targeted amount. It has been able to sell 3.52 billion euros.
This has led the country to reduce the borrowing costs as well. Experts said that Spain has already started preparations for 2013, as it has started funding itself. If to go as per the wordings of experts then Spain needs to collect 207 billion euros in debt plus 23 billion to financially support the cash-strapped regions.
"It was a good auction to end the year, taking into account that we weren't expecting any complications given this is short-term debt and the risk premium is contained", said Victoria Torre, who is positioned as head analyst at Self Bank in Madrid.
Prime Minister Mariano Rajoy said that he will ask for the help from the euro zone rescue fund when they will be needed it the most.
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