After Greek Debt Swap Eurogroup turns to Spain

The expected sign off from the Euro zone finance ministers will be announced on Wednesday, but already their attention has been more focused in Spain as its set to miss its deficit targets. Ongoing austerity measures in Spain have proven not to be enough to reduce the deficit and various Finance Ministers have commented on stricter plans needed.

Spain's newly elected center-right government has already put in place a plan to reduce spending on health and education. The proposed cuts are expected to draw the same level of protests that those in Athens earlier this year. The main goal of the social services cuts is to save at least 30 billion euros.

The largest cuts will be to infrastructure and other investments (40 percent reduction), central government ministries (12 percent reduction), layoff and salary cuts at public companies (30 percent reduction)

Spain is the first country to break the Euro zone rules on national budget policies and an economy far larger than Greece. The jury is still out on the ECB and their handling of the Greece bailout, but what is clear is that harsher austerity measures and bigger bailout funds will be needed if Spain is to avoid