O'Neill: Spain can survive without bailout

Chairman of Goldman Sachs Jim O'Neill has said Spain's stricken economy may not need a full bailout, despite yields on Spanish bonds continuing to soar to eye-watering levels in recent weeks.

O'Neill told CNBC it was not obvious to him why Spain needed a full bailout, and he also questioned the International Monetary Fund's role as a lender. "It is not obvious to me why Spain needs a full bailout, particularly when it comes to IMF bailouts; it is still not obvious to me why the IMF is that involved. "The euro area on a regional basis has no current account balance of payment deficit. The IMF's purpose is to fund countries with deficits. The eurozone does not have one," he said. Although Spanish yields on its 10-year debt have soared above a dangerous 7.5% level in recen...