BRUSSELS, Oct 8 (Reuters) - Spain does not need euro zonefinancial help because its problems stem from the banking sectorand the country is already getting a loan to recapitalise itsfinancial sector, German Finance Minister Wolfgang Schaeublesaid.
"Spain needs no aid programme," Schaeuble said as he arriveda meeting of euro zone finance ministers in Luxembourg,reiterating a point he has made repeatedly in recent weeks.
"Spain is doing everything necessary, in fiscal policy, instructural reforms. Spain has a problem with its banks as aconsequence of the real estate bubble of the past years.
"That's why Spain is getting help with bankingrecapitalisation. And of course Spain, like other countries, issuffering from the problem of contagion, speculation onfinancial markets... but Spain needs no aid programme. That'swhat the Spanish government says again and again," he said.
The finance ministers, known as the Eurogroup, are meetingto discuss Spain's borrowing costs and its economic reforms aswell as other eurozone related issues.
(Reporting By Annika Breidthardt; writing Jan Strupczewski)
Keywords: SPAIN SCHAEUBLE/