Bankinter | The Treasury announced on Monday its Financing Strategy for 2022. The Treasury ended 2021 with total Gross issuance of €264.312 billion and Net issuance of €75.138 billion, -25% below the proposed target and -31.6% below 2020 net issuance. The average cost of debt issued amounted to -0.04% and that of outstanding debt stood at 1.64% (from 1.86% at the end of 2020).
Oriol Aspachs (Caixabank Research) | There are still few large companies in Spain, especially when compared to the major developed countries. This is undoubtedly one of the main reasons why the productivity of the Spanish economy remains relatively low. In other words, this is one of the main reasons why GDP per capita in Spain, or many Spaniards’ purchasing power, remains far from the benchmark countries. Will COVID succeed where economists have failed?
Fernando González Urbaneja | If we listen to the account from the government, the Prime Minister and his vice-presidents, the Spanish economic performance for the year just ended deserves an “A” grade. In spite of the difficulties, the external enemies, the irresponsible opposition, the uncontrolled gas, the unapologetic pandemic, the unforeseen Filomena… the Spanish economy has recovered, with resilience, with feminism, with sustainability, with environmentalism… And two objective data serve…
The International Monetary Fund (IMF) has substantially cut its growth expectations for the Spanish economy in 2021 and 2022, reducing the expected expansion of GDP this year to 4.6% from the 5.7% anticipated last October. For next year it forecasts that the rebound in activity will be limited to 5.8%, six tenths of a percentage point lower than previously expected. So the IMF’s forecasts are close to those recently published…
Oriol Carreras Baquer & Eduard LLorens i Jimeno (CaixaBank) | The price of electricity, something that would usually barely catch the reader’s attention, has populated the headlines and been a topic of dinner conversations since the middle of the year. This change is not a trivial one: the price of electricity soared beginning in July, and by October it had almost quadrupled the average for 2018-2019. What is the reason for this increase and what impact will it have on the economy? These are the questions that this article attempts to answer.
Fernando González Urbaneja | A few weeks ago the European Commission’s forecasts on the performance of the member states’ economies were a cold shower for the Spanish government’s optimism. It preaches that the economy is doing better than well, that the future is one of more than recovery and that Spain is amongst the best in the class. The government bases its arguments on two facts: employment is going well,…
Alphavalue | The average price of used housing in Spain rose by +0.8% month-on-month in November to 1,831 euros/m2, according to Idealista’s latest real estate price index. In the major capitals, the price increased by +0.3% in Barcelona and fell by the same amount in Madrid (-0.3%) compared to the previous month. If we look at the year-on-year figure, the national average price has increased by +3.5%: housing in the…
CaixaBank Research | Unlike in past crises such as the Great Recession, this time the rebound in consumption will be higher: we expect nominal consumption growth in 2021 and 2022 to be higher than the gradual recovery seen in the previous crisis. This higher recovery rate is explained by the fact that much of the savings generated in 2020 were forced and are expected to be undone relatively quickly, and also because the economic support measures have mitigated the impact of the crisis on households. This more rapid recovery in consumption will also drive greater growth in consumer lending, although the extent of the rebound will depend on how the excess savings have been distributed.
Since 2013 it has been possible in Spain for two municipalities to merge. In that year the law to “rationalise the structures and reduce the atomisation of the municipal map” came into force. The first mergers of villages in Spain took place in 2013 and 2017, respectively, in two small municipalities of Galicia. Now the town councils of Don Benito and Villanueva de la Serena (province of Badajoz, in the region of Extremadura) will open the process of merging to popular consultation, an operation that has aroused particular interest due to the size of both localities.
Spain’s reversal of plans for a windfall tax on power providers leaves utilities facing modest extra payments rather than multibillion-euro tax bills. Iberdrola SA, one of Spain’s biggest utilities, is a case in point, says Scope Ratings. Enel SpA, the Italian parent of Spanish utility Endesa, has provided less information though it is sticking to an EBITDA forecast for its Spanish activities issued before the energy levy was announced.