Spanish economy

ECB resource

European Government Bonds: A Sense Of Pragmatism

Julius Baer Research | We share the view of Mario Draghi, President of the European Central Bank, that his ultra-accommodative monetary policy stance alone cannot push the eurozone economy out of its current weakness but needs to be complemented with fiscal impulses.


waiter

Spanish jobless rate drops to a still painful 20%

Summer’s here and so are seasonal contracts. The latest employment survey showed the jobless rate in Spain went down to 20% in Q2, its lowest level since the summer of 2010. And yet employment is still a heavy burden for Spaniards, Greece being the only EU country with a higher rate.



spain public finances

Perseverare Diabolicum

Last week the Council decided that Spain and Portugal’s recent efforts to reduce deficit were not enough. This lead to the two countries being fined, the first time this happens since the inception of the euro.

 


spain public deficit

Spain: Growth Would Held Steady In 2Q16, Beating Expectations

The trend in the variables observed indicates that the recovery of the Spanish economy continued during the first half of 2016. With nearly 80% of the information available for 2Q16, the MICABBVA model estimates that quarterly GDP growth (QoQ) will have completed one year at around 0.8%. If confirmed, this stabilisation in the pace of expansion would give an upward bias to the growth envisaged in BBVA-Research’s baseline scenario for 2016 (2.7%).


Spanish companies pay more taxes than the EU28 average

Why Corporate Tax Collection In Spain Is Half Of 2007 Levels?

Politicians’ promises are always idle talk. This makes it difficult to understand why some analysts showed their surprise when the Spanish government announced a €6 Bn rise in corporate taxes in order to meet Brussels goals just two weeks after general elections. Leaving aside strictly electoral reasons, Mariano Rajoy’s government had solid arguments to hike the levy to firms: corporate taxes are the only ones which have not returned to 2007 levels, gains being reduced by half.


pensioners

The Myth Of Spain’s Pensions Fund

The Social Security’s pensions fund is emptying. And this is causing huge alarm amongst current and future pensioners who believe, incorrectly, that “there’s going to be no money left and one day they’ll tell us that there is no monthly payment.”


clausulassuelo

Spanish Banks To Save Multi-Million Compensations For Floor Clauses

The European Court of Justice advocate general made public on Wednesday a detailed opinion from an advisers group on so-called floor clauses in Spanish mortgage contracts. This recommendation suggests the court should apply retroactively a “temporal limit” on the amounts banks will have to reimburse borrowers. Floor clauses were already declared unfair by Spanish Supreme Court in 2013 May.


Navantia will build five Avante 2200 corvettes for Saudi Arabia

Spain’s State-Owned Shipyards Cannot Stand Comparison

While Spain’s private shipyards are doing really well, the state-owned shipyards are not capable of recovering the levels of competitiveness which would pull them out of losses and allow them to compete in the international markets. One relevant example of this was their inability to take on the job of building the lock-gates for the Panal Canal extension.


spain challenges

What About Spain’s Slowdown?

In the next quarter and the following one, we will obviously see an uptick in growth because of the tourist season. But after that, we will see a more marked slowdown, for a variety of reasons, with the first one being the impact of Brexit. But if this is going to lead to recession, I don’t know. I don’t have a crystal ball, but I don’t rule it out.