Spain's 4th largest lender - Bankia - is set to be partially nationalized after the market...

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Tony Petroski Comments (6373)
 
"And the government is getting this money from where?"

Update: Reuters is reporting that "Spain has been able to expand their credit line with Bankia, so the government has insured adequate funding through the first quarter of next year."
9 May 2012, 09:55 AM Reply Like

Advill Comments (2079)
 
Money is coming from the same "bank" that US goverment....is it clear?, why do you surprise?
9 May 2012, 10:06 AM Reply Like

SanDiegoNonSurfer Comments (2032)
 
It's interesting that the more conservative the government, the more it seems to end up taking (finding itself forced to take?) socialist measures. Not sure what to make of that but it's interesting.
9 May 2012, 12:34 PM Reply Like

The Delivery Guy Comments (92)
 
Um... not really, Spain and Greece have major Socialist parties, meanwhile Switzerland has shifted very Conservative and is only really feeling the pinch caused by its investments in its neighbors.
9 May 2012, 12:53 PM Reply Like

SanDiegoNonSurfer Comments (2032)
 
You're misreading my comment Delivery Guy. Spain's conservative gov't, elected to supposedly lead the nation out of the wilderness using conservative principles is now finding itself in need of taking the socialist step of nationalizing its banks. Conservative groups in the U.S. often end up pushing for socialist measures as well after they find themselves in power for awhile. I find that interesting. It has nothing to do with what nations having overtly socialist parties may or may not do.
9 May 2012, 01:27 PM Reply Like

Losing Paper While Gaining ... Comments (493)
 
With our current economic systems the governments are practically tied into the banks, no matter their political ideology.

Banks need governments to keep fiat money in place, and governments need banks to sell their debt.

The losers in all this? You and I.
9 May 2012, 02:18 PM Reply Like

miguelrobles Comments (3)
 
Money was previously given to Bankia through the buy of co-co bonds by the government several months ago. The nationalization would consist on converting those co-co's to common shares. That would give the government the 45% of total shares.
9 May 2012, 01:12 PM Reply Like