Half of the line of guarantees’ first tranche, amounting to 20 billion euros, will be earmarked for SMEs and the self-employed, guaranteeing 80% of new loans and financing renewals. The remainder will go to medium and large companies. In the latter’s case, up to 70% of new loans will be guaranteed, while loans’ renewals will be guaranteed up to 60%. Once the resources are used up, the government will automatically activate new tranches of credit lines up to the maximum target of 100 billion euros.
The rapid spread of the coronavirus in Spain is sparking a decline in activity for many companies, beyond just the shops, bars and restaurants which have been forced to close. Some giants such as SEAT, Volkswagen or Burger King have announced that they are going to launch temporary layoffs (so called ERTEs) to deal with the situation. The Spanish government calculates that the extraordinary measures already activated could affect up to one million jobs.
Joan Tapia (Barcelona) | The PSOE-Podemos Coalition Government has not failed to confront its two main challenges: economic policy and Catalonia. However, now comes the most important issue: to approve the national budget for 2020 for which it needs a vote in favour of ERC. This time the abstention of ERC is not enough, as in the case of the investiture, which was achieved in exchange for the establishment of a dialogue between the governments of Madrid and Barcelona.
CaixaBank Research | Spain’s boom in international tourism between 2011 and 2016 coincides with a long period of instability suffered by Egypt and Tunisia following the Arab Spring of 2010, as well as the episode of insecurity suffered by Turkey between 2015 and 2016. This reduction in competition for Spain helped its number of international tourist arrivals to rise at a considerably fast rate of 6.1% per year. This beneficial situation for the Spanish market came to an end in 2018 as we explain here.
Bankia’s results were much better than market expectations, however, there are some uncertainties about its share price. The bank has achieved a profit of € 542 million, 23% less, with experts expecting a greater adjustment due to the bank’s efforts to get rid of unproductive assets.
Bankinter | According to INE (Spanish Statistical Office) 83.7 million foreign tourists visited Spain last year, an increase of 1.1% over 2018. Their spending also broke a record, rising 2.8% to €92.278 million. Among the main tourist destinations, the ones that did well were Madrid +7,0%, the Autonomous region of Valencia +3,9% and Andalusia +3,4% and the ones that didn’t were The Canary Islands -4,4% and the Balearic Islands -1,2%.
Unemployment rose in January by 90,248 people and the Social Security system lost 244,044 members, the worst figure since 2013, when Spain was trying to emerge from the crisis. All the Autonomous Communities, except for the Balearic Islands, have seen the unemployment rate rise in all sectors except construction, so some Autonomous Communities already have more unemployed than in 2019.
Randstad, the leading human resources company in Spain and worldwide, has developed a study on the rate of employed people who are actively seeking another job. For this, it has analyzed the data of its last Workmonitor study corresponding to the fourth quarter of 2019, based on more than 13,500 surveys of working professionals from 33 countries