His finance minister, Cristobal Montoro, meets heads of finance of all 17 regions later to review their budget plans
which are a crucial plank of the drive to lower public debt. The European Commission warned last week that
stubbornly high debts in the regions and the welfare system would prevent Spain meeting its deficit goal of 5.3
percent of GDP this year. Spain's 10-year yields have spiked back above 6 percent, which investors view as a pivot
point that could accelerate a climb to 7 percent, a cost of borrowing widely seen as unsustainable even though Madrid
has sold well over half its debt needs for the year.