J.P. Marín Arrese | PM Pedro Sánchez will govern backed by a weak minority party. There will be little respite from either those who voted for him or those who voted against him. No one expects the new Spanish government can deliver any substantive policies. Yet, such an isolated and weak position can also be a valuable asset.
The number of jobless people registered in the public employment services’ offices fell by 83,738 in May compared to the previous month (-2.5%). The total number of unemployed stood at 3.25 million end-May.
Raimundo Poveda | The Spanish pension system is one more which exists in the OECD and, probably, not one of the worst. Neither are its problems very original. Just like in other countries in the club, the financial hardships which were the result of the Big Recession led to cuts. These were implemented in 2011 by the PSOE, with the PP causing a big scandal, then in 2013 by the PP, with the roles reversed.
The household savings rate lay below 6% of gross disposable income in 2017, a figure similar to 2007 just before the real estate bubble burst, and well below the peak reached in 2009 of 13.4%. What factors explain the sharp decline that has occurred in the last few years? CaixaBank Research focuses on this issue.
Shaun Riordan | The motion of censure against Spanish Prime Minister and the election of socialist leader Sanchez as his successor has briefly spooked markets. But in the end it may make less difference than it seems at first sight.
Victoria Torre (SelfBank) | A tense day was expected in Spanish financial markets, with the vote on the censure motion against the government of Mariano Rajoy and doubts about whether the President would resign. He didn´t and the censure motion was adopted with 180 votes in favour.
Fernando G. Urbaneja | The Spanish parliament has suddenly and unexpectedly used a constitutional motion of censure against the government of Rajoy to elect a new government. The new government returns Spain to the ancient ghosts of the first third of the 20th century: multi-party and fractured coalitions.
Shaun Riordan | The fate of Spanish Prime Minister Rajoy was in the end settled by the five votes of the Basque Nationalist Party (PNV). Until yesterday´s debate in the Congress, Rajoy was confident that the Basques, who last week voted in favour of the 2018 budget, would abstain. This would have denied socialist leader of the absolute majority he needed to eject Rajoy from the Moncloa Palace. But this time the Basque Nationalist Party had other priorities.
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.
Adjustments to the number of employees and branches in the sector continue, despite the fact that the deleveraging of the private sector seems to be coming to an end. Spanish banks are feeling the effects of the resolution and sale of Banco Popular in June 2017 and posted after-tax losses of €3.92 billion for the year, although it achieved further improvements in solvency and asset quality.