Spain Warns of Increasing Debt Costs

 With Spain's economy sliding at a faster pace, Prime Minister Mariano Rajoy is warning that the government will not be able to sustain its high borrowing costs for much longer.

Rajoy told parliament Wednesday that European leaders need to adopt strong banking¹ and fiscal² ties when they hold a two-day summit, starting Thursday in Brussels. The Spanish leader said he will call for leaders in the 17-nation currency bloc³ to send a $125 billion rescue package directly to Spanish banks, rather than through the Madrid government as is now required, so the government would not ultimately be responsible for paying back the loans.

He said Spain "is going through a very difficult economic situation." Spain's central bank said the country's economy is contracting faster in recent months than in the first quarter of this year, when it fell three-tenths of a percent.

Rajoy said Spain, Italy and other debt-ridden countries need currency bloc leaders to send a clear signal to international financial markets "that the euro is here to stay." Spain's borrowing costs have risen in recent days to near the 7 percent interest rate on government debt at which the Greek, Italian and Portuguese⁴ governments all were forced to secure international bailouts.

Numerous European leaders are pushing Germany, the eurozone's most potent⁵ economic force, to do more to ease the financial plight⁶ of the currency bloc's weaker governments. But German Chancellor⁷ Angela Merkel told her parliament that Germany can only do so much, and that austerity spending measures remain the key to improving government finances.

"I expect controversial discussions in Brussels and once more, all eyes -- or at least a lot of eyes -- will be focused on Germany," she said. "But I reiterate⁸ here and today what I have last said in this parliament on June 14: Germany is a growth engine and a stabilizing⁹ anchor in Europe. But even Germany's strength is not unlimited¹⁰. We must not over-strain Germany's strength."

Some eurozone leaders are calling for the sale of eurobonds, supported by the entire currency bloc, but Merkel remained adamant¹¹ in her opposition¹² because they likely would increase Germany's borrowing costs.

"Apart from the fact that eurobonds and euro bills and so on are unconstitutional in Germany, I believe they are economically wrong and counterproductive," she said.

1 banking   

n.银行业，银行学，金融业

参考例句：

• John is launching his son on a career in banking.约翰打算让儿子在银行界谋一个新职位。
• He possesses an extensive knowledge of banking.他具有广博的银行业务知识。

2 fiscal   

adj.财政的，会计的，国库的，国库岁入的

参考例句：

• The increase of taxation is an important fiscal policy.增税是一项重要的财政政策。
• The government has two basic strategies of fiscal policy available.政府有两个可行的财政政策基本战略。

3 bloc   

n.集团；联盟

参考例句：

• A solid bloc of union members support the decision.工会会员团结起来支持该决定。
• There have been growing tensions within the trading bloc.贸易同盟国的关系越来越紧张。

4 Portuguese   

n.葡萄牙人；葡萄牙语

参考例句：

• They styled their house in the Portuguese manner.他们仿照葡萄牙的风格设计自己的房子。
• Her family is Portuguese in origin.她的家族是葡萄牙血统。

5 potent   

adj.强有力的，有权势的；有效力的

参考例句：

• The medicine had a potent effect on your disease.这药物对你的病疗效很大。
• We must account of his potent influence.我们必须考虑他的强有力的影响。

6 plight   

n.困境，境况，誓约，艰难；vt.宣誓，保证，约定

参考例句：

• The leader was much concerned over the plight of the refugees.那位领袖对难民的困境很担忧。
• She was in a most helpless plight.她真不知如何是好。

7 chancellor   

n.(英)大臣；法官；(德、奥)总理；大学校长

参考例句：

• They submitted their reports to the Chancellor yesterday.他们昨天向财政大臣递交了报告。
• He was regarded as the most successful Chancellor of modern times.他被认为是现代最成功的财政大臣。

8 reiterate   

v.重申，反复地说

参考例句：

• Let me reiterate that we have absolutely no plans to increase taxation.让我再一次重申我们绝对没有增税的计划。
• I must reiterate that our position on this issue is very clear.我必须重申我们对这一项议题的立场很清楚。

9 stabilizing   

n.稳定化处理[退火]v.（使）稳定， （使）稳固( stabilize的现在分词 )

参考例句：

• The disulfide bridges might then be viewed primarily as stabilizing components. 二硫桥可以被看作是初级的稳定因素。 来自辞典例句
• These stabilizing design changes are usually not desirable for steady-state operation. 这些增加稳定性的设计改变通常不太符合稳态工作的要求。 来自辞典例句

10 unlimited   

adj.无限的，不受控制的，无条件的

参考例句：

• They flew over the unlimited reaches of the Arctic.他们飞过了茫茫无边的北极上空。
• There is no safety in unlimited technological hubris.在技术方面自以为是会很危险。

11 adamant   

adj.坚硬的，固执的

参考例句：

• We are adamant on the building of a well-off society.在建设小康社会这一点上，我们是坚定不移的。
• Veronica was quite adamant that they should stay on.维罗妮卡坚信他们必须继续留下去。

12 opposition   

n.反对，敌对

参考例句：

• The party leader is facing opposition in his own backyard.该党领袖在自己的党內遇到了反对。
• The police tried to break down the prisoner's opposition.警察设法制住了那个囚犯的反抗。