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Spain say they will not need a bailout

After Portugal requested a bailout, Spain reassured the Eurozone that it will not follow suit.

The markets' attention is now directed at Spain after Portugal buckled to pressure and requested a bailout this week.

Spain has claimed that there is no risk of the crisis spreading. Though Spain has a 20 per cent unemployment rate, and its future growth forecast was cut by 2 per cent and 3 per cent for 2012 and 2013, respectively, Spain remains optimistic about its economy.

The Portugese bailout is expected to cost between €70bn - 80bn (£61bn - 70bn) with Britain potentially having to contribute more than £3bn, according to the thinktank Open Europe.

The EU and Goldman Sachs both applauded Portugal's decision, claiming a bailout request was a responsible decision to maintain stability in the country and the Eurozone as a whole.

Liam McLaughlin is a freelance journalist who has also written for Prospect and the Huffington Post. He tweets irregularly @LiamMc108.