Luis Alcaide | Spanish government with its parliamentary minority has administered, but without exposing itself to dangerous risks difficult. It has pushed its budget, with its own proposals, knowing it will not be approved. But as Groucho Marx said “here is another one”. The increase in the minimum wage has already shown their socialist colours. We need to continue to take care of the economy. It is not that easy, but not that hard either.
Juan Carlos Martínez Lázaro in The Conversation | The 2019 budget is very well designed from a political point of view, as it is a tool for prolonging the legislature. More questionable is that this budget will be a tool for “driving productivity and strengthening solid growth”. Many more things would be needed to transform the Spanish productive model which, although it hurts us, remains the same as what we had before the crisis.
Francisco Vidal (Intermoney) | In yoy terms, Spain did not grow at the initially targeted 3% and 2.7% during the first two quarters, but it did at 2.8% and the 2.5%, respectively. Therefore, the growth figures begin to signal a certain moderation and show the maturity of the economic cycle.
Prime Minister Pedro Sanchez this Wednesday will attend a meeting organised by the American Chamber of Commerce in Spain (AmChamSpain) during the General Assembly of the UN, together with over 20 leaders of major multinationals, US banks and major investment funds. At the moment, Sánchez has already had the opportunity to greet US President Trump.
via The Conversation | Whether the Spanish economy is capable of returning to the levels of unemployment at the peak of the housing bubble between 2006 and 2007 is the key labour question and the principal concern of political economy.
BancaMarch | The Spanish Independent Authority for Fiscal Responsibility (AIReF) maintains buoyant expectations for the growth of the country’s economy.
Rafael Domenech (BBVA Research) | Since 2014, Spain has been growing at rates higher than those of most other European countries. During these years, Spain has recovered the competitiveness lost before the crisis.
In Spain today all eyes will be on the voting on the no-confidence motion which we expect will be successful. Unless current Prime Minister Mariano Rajoy decides to resign ahead of the vote. So everything points to PSOE leader, Pedro Sánchez, becoming the new Prime Minister. It looks like he will not propose new elections immediately, which we believe will prolong the political instability in the country.
Spain’s economic growth has only just begun. According to Morgan Stanley’s macroeconomists, the last Spanish cycles have lasted increasingly longer, from ’82 to ’93 and from ’94 to ‘2013.
J.L.M. Campuzano (Spanish Banking Association) | The Spanish economy’s financing capacity compared with the rest of the world stood at 8.943 billion euros in the fourth quarter, representing 3.1% of GDP. For the year as a whole, the financing capacity was 22.752 billion euros, 2% of GDP.