Spain Seeks More Debt To Recapitalize Bankia

A rescue plan was announced today by the government of Spain in a bid to rescue the troubled Spanish Bank Bankia. The country’s plan involves Spain raising up to $29.5 billion. The move, which constitutes the country’s largest ever bank bailout, was made as the financial institution faced crisis and risked destabilizing the entire Eurozone. Yesterday the European Central Bank had rejected a plan to bail out Bankia by offering them sovereign bonds which they could then have traded for cash with the central bank. The ECB said that the plan infringed on the European ban on central banks funding…