"We do not have clear
signs from Spain," the source said, indicating it was unlikely Madrid
would make such a bid by October 8 when eurozone finance ministers are due to
meet.
Berlin has commended austerity
measures in recession-mired Spain, arguing the country, the eurozone's fourth
biggest economy, was suffering above all from a lack of confidence on the
financial markets.
"We do not have the
impression that a very convincing case could be built in favour of a request
for aid for Spain at a time when the country is managing to raise financing on
the markets," the source added.
Spain passed a major bond
market test on September 20 when it borrowed 4.8 billion euros ($6.2 billion),
paying sharply reduced interest rates for the critical long maturity of 10
years.
It will face an auction of
medium-term bonds Thursday.
The German government source
commented that the European aid programmes were "not there in order to
give everyone the same interest rate. They are there to avoid bankruptcy."
The Spanish government has
already struck a deal with its eurozone partners for a rescue loan of up to 100
billion euros for its banks but is under pressure from markets and some
European partners to seek a full-blown rescue.
European Union economics chief
Olli Rehn told Madrid Monday that European powers were "ready to act"
if Spain sought a sovereign bailout.
In late Wednesday trade,
Spain's borrowing costs over 10 years were at 5.69 percent, well below the
seven-percent level deemed likely to trigger a bailout request.
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