Spain's PM says his government is to unveil 6.3 billion euro ($8.6 billion) stimulus package

MADRID – Spain's prime minister says his government will unveil a stimulus package worth 6.3 billion euros ($8.6 billion) to boost competitiveness.

In another sign that the country is emerging from five years of economic hardship, Mariano Rajoy said his plan "aims to mobilize" 2.7 billion euros from the private sector and 3.4 billion euros from the public sector.

He said Saturday corporate tax would be cut from 30 percent to 25 percent.

Rajoy added that details will be revealed at a Cabinet meeting on Friday.

Standard & Poor's was the third credit rating agency to upgrade Spain's sovereign credit grade on May 23 although Spain is still saddled with a massive 26 percent unemployment rate.

Rajoy said Spain has created employment in the last two quarters.