Micheál Martin (Cork South Central, Fianna Fail)
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To ask the Minister for Finance if the lack of need for a bailout for Spain was discussed with Prime Minister Rajoy; the implications of this position for Ireland; and if he will make a statement on the matter. [48329/12]

Michael Noonan (Limerick City, Fine Gael)
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European Finance Ministers and Heads of State and Government meet and discuss regularly with their colleagues, including important issues such as economic and financial vulnerabilities. Regarding any need for a bailout, it is ultimately up to the authorities of a country to determine the existence of such a need, request assistance, and to decide on when they draw on said assistance so long as they continue to fulfil any agreed measures.

In July, Spain and the EFSF signed a Memorandum of Understanding. The purpose of this programme is to assist Spain with its measures to reinforce its financial stability. The Memorandum specifies financial sector conditionality and, upon observance thereof, allows Spain to draw up to EUR100bn from the EFSF for the purpose of recapitalisation of its financial sector. Spain has not seen the need to request a fully-fledged programme.

Ireland, for its part, continues on its adjustment path and is making progress toward re-establishing sustainable market access. Of course, the external environment is important for Ireland’s recovery and for sustained market access. Hence, Ireland has an interest in seeing Spain make good progress toward stabilisation and recovery.