Spanish Socialists do financial outing to regain public trust

The Socialists are going to make their accounting public, even if it’s only a balance sheet. Of course a complete, more thorough financial report would have been desirable, but at least they are honoring transparency and accounting in some way.

If we take a closer look at the data –just numbers, no context nor explanations- there is coherence and progress. In the last three exercises we can see how income is going down (something obvious in a context of economic crisis) from €93 million in 2011 to €64 million in 2013. There are less affiliated Spaniards and less money coming from donations. Publica id has gone from 65 to 42 millions.

As for the expenses, those regarding the party staff have gone down from de 32.4 m to 23.8, after 2013 budget cuts. The balance  sheet also shows consistency, equity down from 49 to 40 million as a result of losses during the years 2011 and 2012. Year 2013 they reaped profits of €3.2 million. Equipment is valued at €120 million (less €46 million of accumulated depreciation).

A more orthodox information should relate this property to appreciate if it hides losses or otherwise. To hold that immobilized living net loans amounted to €55 million, with the downward trend (were €61 million in 2011). If the asset, presumably, are valued the debt is reasonable and bearable.

Numbers from 2011 and 2012 were deficient, with more expenses than revenue, a negative cash flow, but those of 2013 indicate a slight correction and a positive cash flow. Former Secretary Alfredo Pérez Rubalcaba stuck to their possibilities, to an evident decline, but with realism and prudence. Accounts seem clear, although the posted information is still very poor. 

About the Author

Fernando Gonzalez Urbaneja
Over 30 years working in economic journalism. Fernando was founder and chief-editor at El País, general editor at the business daily Cinco Días, and now teaches at Universidad Carlos III. He's been president of the Madrid Press Association and the Spanish Federation of Press Associations. He's also member of the Spanish press complaints commission.

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