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.
This year the end of summer has not just been bad but really bad for the Spanish labour market. The number of unemployed in Spain increased in August by 47,047. To find a similar rise in August you have to go back to 2011. Also the number of people that signed up to social security fell by 202,996, the worse data for August since 2008. Finally, the day 31 August became the one when the most jobs were destroyed in history.
Spain is behind the UK and followed by the Netherlands in the provision of basic (transactional) services to its customers, with prices 58% lower than the average of seven countries analysed. Germany is at the other extreme with an average annual price of 181 euros.
Caixabank Research | Spanish imports could be growing because of the composition effect, through which the components of demand of greater import intensity increase their weight in total demand, or because the import intensity of each component is increasing, which would be more worrying.
Caixabank Research | Since the beginning of 2012 Spain has accumulated a trade surplus in goods and services which is helping reducing the large deficit in net international investment. But it has not always been like this.