A top lawmaker with German Chancellor Angela Merkel's party says he believes Spain will need to tap the eurozone rescue fund to help its troubled banking sector _ and the money can't go straight to a Spanish bank rescue fund.
Spain has insisted it doesn't need international help, even as its borrowing costs rise.
But Volker Kauder, the parliamentary leader of Merkel's conservative bloc, told ARD television Wednesday: "I think Spain _ not because of the country, but because of the banks _ has to (tap) the rescue fund."
Kauder said there's a discussion over whether aid could go directly to a Spanish bank rescue fund _ but "I don't see this possibility."
He said the rules of the European Financial Stability Facility allow only for a country to apply.