Spain sends ‘distress signal’ as bank set to get less than €19bn

Bankia, the fourth largest bank in Spain, could get less than the €19 billion in aid it has asked for, two sources said, prolonging uncertainty surrounding a rescue that has added to fears that Spain itself would need a bailout.

The money would be on top of about €4.5bn Madrid has already put in to the bank.

Spain’s government is in the process of nationalising the bank, which has struggled under the weight of souring property assets after a property bubble burst four years ago. But the amount needed for the rescue may have been overestimated and Bankia may end up getting less bailout money, the sources said, adding the final figure would only emerge after a series of other audits.