Prime Minister Mariano Rajoy said Spain’s future is on the line in its battle to tame surging bond yields, as the head of the nation’s second-largest region proposed handing back powers to the government to cut costs.
Five days before Christmas, ex-Deputy Prime Minister Rodrigo Rato was asked by a prosecutor probing the collapse of Bankia SA whether he’d done business with Jaime Castellanos, chairman of Lazard Ltd.’s Spanish unit.
Madrid’s suspended its plan to build an airport for business jets and general aviation south of the city in El Alamo, a victim of budget cuts and demand forecasts, Cinco Dias reported, citing unidentified people.
Prime Minister Mariano Rajoy’s People’s Party has 862 elected officials across Spain at regional, national and European levels. Only one has called out the premier over allegations that he received illegal cash payments before winning office in 2011.
Prime Minister Mariano Rajoy’s credibility is being undermined by the role of his People’s Party in the failure of the Bankia group, Spain’s third-biggest lender, and the emergence of more unpaid government bills.