Continuing concerns in Spain and Greece are posing a direct threat to the survival of the Eurozone even as the European leaders work together to address the issues.

Analysts say that Greece is highly unlikely to meet the terms set for the bailout and this might result in a default on debt payments by the country. On the other hand, Spain paid the second highest yield on short-term debt since the introduction of the Euro in an auction of three- and six-month bills on Tuesday and might need a full international bailout.

Spain's borrowing costs have risen drastically and there is no enough money to rescue the Eurozone's fourth largest economy if it requires a full bailout.

Officials say that inspectors from European Union, European Central Bank and International Monetary Fund are likely to conclude that Greece will not be able to pay its debts and would thus require another bailout.

Eurozone countries had agreed to a bailout package worth $ 122 billion to help Spanish banking sector come out of its current turmoil. The agreement comes amid speculation that they Spanish government might be forced to ask for a bailout from the European Union. The finance ministers of 17-nation euro group reached an agreement of a financial support for Spanish banks in a video conference on Friday.