S&P says may cut Spain's AAA debt rating

MADRID Jan 12 (Reuters) - Standard & Poors has put the long-term sovereign debt rating of Spain on negative creditwatch and may cut it due to its current recession and weak growth outlook.

The credit rating agency is concerned about Spain's high private sector debt and worsening public finances.

A creditwatch listing signals a potential but not inevitable change in Spain's AAA rating.

"The Creditwatch placement reflects our view of the significant challenges facing the Spanish economy as it traverses a period of very weak growth," Standard & Poors said in a statement.

Standard & Poor's said Spain had to cut public spending in line with lower government revenues

(Reporting by Andrew Hay; Editing by Victoria Main)