VIENNA (MarketWatch)�Austria�s finance minister played down concerns Tuesday that Italy will become the next euro country to need an international bailout.
�We don�t have any sign that Italy will put in a request. I don�t see it,� Finance Minister Maria Fekter told reporters after the government�s weekly cabinet meeting.
Click to Play Spanish banks claim they don't need bailoutA number of Spanish banks say they don't need state aid just two days after the Spanish government announced a �100 billion ($125 billion) bailout to save the sector. WSJ's David Enrich assesses their claim. Photo: Getty Images
She acknowledged that Italy is borrowing from the markets only at �very, very high prices� but said the Italian economy, the euro area�s third largest, remains strong despite low growth.
Yields on the 10-year Italian bond, a measure of investors� perception of risk, climbed Tuesday to the highest level since January, remaining above 6% as in recent trading sessions. After their borrowing costs reached that level, Ireland and Portugal were forced to seek bailouts.
Spain this month became the fourth euro-zone country to seek outside helping, securing a pledge of 100 billion euros ($125 billion) for its ailing banks. Besides Ireland and Portugal, Greece has received two bailouts.
Should Italy request a bailout, its fellow member countries would be prepared to help, Mrs. Fekter said.
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