Spain bailout will not require troika

Spain’s bank bailout of up to €100bn will not involve a troika overseeing its finances, but their banks can expect conditions and regular on-site inspections.

The financing agreed by eurozone finance ministers over two conference calls on Saturday will initially come from the same source as that of Ireland, Portugal and Greece — the European Financial Stability Fund.

But when Ireland got its €45bn from the EU’s bailout funds in Nov 2010, there was no separate provision for money to pay banks’ debts, as EU leaders refused to link the sovereign crisis to the banking crisis.