In relation to the fiscal deficit, the IMF has suggested to the Government of Pedro Sánchez that it calculates “realistically”the incomes it expects to collect from tax increases, to avoid a sharp increase in the deficit. The organisation has also lowered its forecast for GDP growth in Spain in 2018 from 2.8% to 2.7%. For 2019 the IMF expects GDP to grow by 2.2%, in line with its previous forecast.
J. P. Marín- Arrese | Undoubtedly, former astronaut Pedro Duque enjoys ample recognition for his past feats. His nomination to the R&D Cabinet portfolio was widely praised and welcomed, even if he confessed his utter lack of experience for the job. Thus, news on his dubious record as a taxpayer came as a nasty shock. He has acknowledged setting up a company to hold his own home and a beach resort dwelling where he spent his holidays, thus reducing his tax bill.
Spanish companies pay more taxes than the EU28 average despite the reduction in their number during the crisis and that only 45.3% of the total registered profits in 2015.
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.
One of the key supports for Spain’s economic growth during the recovery has been the strength of international tourism. CaixaBank Research predicts 3.4% growth in tourism-related GDP in 2018, outperforming Spain ’s economy as a whole (2.8% growth). This excellent performance has helped to create jobs: in the four years between Q1 2014 and Q1 2018, 396,000 new jobs were created related to tourism.
The ratio which estimates the Spanish non-financial firms average cost of financial debt reduced between 2008 and 2016 (the last year for which data is available) by more than 50%, so that the average value want from 5.9% at the beginning of this period to 2.7% in 2016, according to the last data from the Bank of Spain.
J.P. Marín-Arrese | “At least, no single Yemeni would face death singled out by these ingenious devices shipped from Spain to Saudi Arabia.” Such a startling statement did not come from the arms industry, but the Spanish government spokeswoman.
Perhaps for the first time in many months the attention paid to the economy competes with the political crisis when evaluating the situation in Spain. For two reasons: one, there are signs of deceleration which should not be lost sight of, and two, because these symptoms could be, together with the difficult negotiation over the Budget – a key test of the viability of Perdo Sánchez’s new government.
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.
