Finnish PM says unlikely Spain to request full bailout

(PARIS) - Prime Minister Jyrki Katainen of Finland, whose country is among the eurozone fiscal hardliners, said in a Wednesday newspaper interview that he felt it unlikely Spain would request a full sovereign bailout.

"Spain has initiated many reforms, it will be more competitive than before, its austerity measures are more credible than before," Katainen said in an interview with the French daily Le Figaro.

The Finnish PM said Europe should be ready in case Spain needs help.

"But I don't think that Spain will request a full bailout because it has an interest in keeping access to the markets open and Europe should help it do that," he added.

The financial markets have been rife with speculation Spain might seek help within days to stabilise its public finances, but European officials and Spanish Prime Minister Mariano Rajoy have tried to dash expectations of an imminent bailout request.

Spain is required to make a formal demand for help in order to trigger the release of eurozone rescue funds and supportive action by the European Central Bank.

Finland, along with Germany and the Netherlands, has been among a group of eurozone countries which have insisted on tough conditions be attached to bailout funds.