Catalonia’s unemployment reaches historical record
Over the last month, unemployment in Catalonia grew by 2.19%, while a year ago, in October 2011, it grew by 2.43%.
Spanish economy
Spain’s bad bank may never turn good
MADRID | Dumping damaged assets at a price much below accounting value and cumulated provisions will entail large own resources imbalances for the banks taking part in the Sareb bank. JP Marín Arrese is sorry for taxpayers.
Spanish banks with capital deficiencies initiate their viability plans
The capital requirements of each institution have now been published, but non-performing loans continue to increase sharply. Nevertheless, CaixaBank analysts indicate, the fall in deposits of firms and households is partly due to issuances of commercial paper with more attractive, higher returns.
Give Spain fair targets, or damn the euro
“To avoid the euro zone spinning out of control, conditions imposed on Spain should be tailored to be fairly met. That inevitably involves further flexibility in its deficit goals,” says economist JP Marín Arrese.
The Spanish banking system holds some €108bn liquidity surplus
The first 3-year injection auction in November 2011 allowed the Spanish banking to get cheap and long-term funds, which substantially varied its liquidity position. According to AFI analysts, it also limited risks associated with restrictions to renew and issue bank debt and to attract sufficient retail funds to offset the fall in wholesale funding.
Spain and the ever higher tax revenue bait
VALENCIA | Economist Ernest Sena reveals data of spending rates that tells a different tale about the Spanish regions: they aren’t as wild and rebels as it has been portrayed. But there is a common mistake to all public administrations, which have used budgets like propaganda tools.
How much is Catalonia owed?
How much does ‘different identity’ account in fiscal transfers between regions and their central government? Catalan president Artur Mas mixes tax data with sentimental issues and accusations of mistreatment, says Fernando G. Urbaneja, so a necessary dialogue becomes unnecessarily difficult.
How party politics ruined Spain’s public sector in two charts
Only when private sector hiring has showed some muscle, public jobs have fallen as a percentage of the total employees in Spain. The country’s public sector needs a downsize, and this should be easy to achieve: free the public administration from party politics interests.
Spain needs growth to do its homework
MADRID | The weakness of Oliver Wyman’s Spanish banking test is similar to that of the national budget, economist JP Marín Arrese opines. Without growth, Spain could be rescued only to see risk premiums and credit costs decreasing. The threat of a depression would still loom.
Madrid-Barcelona doors still wide open
Something happened Friday September 28. Catalonia sold €2 billion in bonds and Spain’s Treasury minister announced that the regions rescue fund is now open for business to provide capital aid to Barcelona. The central government has a strong case to deactivate the Catalan conflict while reassuring markets with a restructuring plan of the state’s administration.