Stress Tests May Include 20% Haircut on Spain Debt, Mundo Says

Oct. 17 (Bloomberg) -- The new round of European Banking Authority stress tests may include a reduction in the value of Spanish sovereign debt of as much as 20 percent, El Mundo reported yesterday, without saying where it got the information.

Mariano Rajoy, leader of the opposition People’s Party, asked Prime Minister Jose Luis Rodriguez Zapatero yesterday to try to stop the plan, the newspaper reported.

To contact the editor responsible for this story: Emma Ross-Thomas at erossthomas@bloomberg.net