Spanish Prime Minister Jose Luis Rodriguez Zapatero denied that he never stated that the country was in emergency situation and may need a bailout soon like Ireland, Portugal, and Greece.

Earlier, union leader Ignacio Fernandez Toxo had notified that the PM stated that the country was on the periphery of economic crisis and needed a bailout for the economy. He added that the PM did not provided any evidence regarding the situation nor any memo related to the European Central Bank was exposed.

Minister of Economy and Finance Elena Salgado notified that they never felt a need for a bailout. Though the initial days of August were a bit depressing, the government never contemplated a bailout.

Yields portray the country's debt position and the yield on 10-year Spanish bonds positioned at 5.20%, it was 5% in the preceding week.

Salgado notified that recession and feeble growth are entirely different terms and weak economy can be upgraded.

The government has been expecting 1.3% GDP growth this year and the next years target will be around 2.3%. The economy has witnessed a growth of around 0.2% in quarter two which was low from the growth of 0.4% that the economy had witnessed in first three months.