The Spanish economy will grow 0.7%, according to Fiscal Responsibility Watchdog

Spain's government seems unable to secure parliamentary backing for the 2018 general budgetSpain's government seems unable to secure parliamentary backing for the 2018 general budget

BancaMarch | The Independent Authority for Fiscal Responsibility (AIReF) maintains buoyant expectations for the growth of the Spanish economy.

According to AIReF´s monitoring model, the economy will maintain a quarterly rhythm of growth of +0.7% in both the third and fourth quarters of this year. With this, AIReF anticipates a slight acceleration of growth in the second half of the year, after a quarterly growth of +0.6% registered in the second quarter.

This improvement in expectations results from the latest data for social security affiliation, as well electrical energy consumption and financing for companies and households. The negative note has come from the fiscal deficit, which according to the analysis of the authority, will reach 2.7% of GDP this year, remaining five base points above the original target of 2.2% set by Brussels.