BrusselsWhile the eurozone continues to register an anemic economic growth, Spain remains the great economy that grows the most. Brussels has improved the State’s economic forecasts and estimates that this year it will increase its gross domestic product (GDP) by one tenth more than it had previously predicted, by 2.4%. A percentage that far exceeds the 0.9% of the countries in the single currency and the 1.1% of the European Union as a whole. The difference is even more substantial when compared to Germany’s rate, which will remain at 0.6%, or France and Italy, which will remain at 0.8% and 0.5%, respectively.<\/p>\n
The report on the spring economic forecasts presented this Thursday by the European Commission indicates that Spain maintains these good figures due to “internal demand” and an “increase in consumption and investment,” which is benefited by “job growth in a context of sustained immigration and record low household debt.” <\/p>\n
In fact, Brussels indicates that unemployment in the State will fall below 10% \u2014 a rate not seen since 2008 \u2014 and will stand at 9.9% this year and 9.6% in 2027. With these figures, Spain would cease to be the member state with the highest unemployment rate, and Finland would surpass it, which this year will climb to 10.1% and next year will only fall to 9.9%. However, the Community executive warns that, despite this “downward trend will be maintained,” the pace of reduction in unemployment and job creation by Spain will be “lower” than in recent years due to the projection of a “gradual slowdown” in economic growth.<\/p>\n
In this regard, the European Commission lowers its economic growth estimates for Spain in 2027 by one tenth, placing it at 1.9%. Nevertheless, the State will remain well above the average of the eurozone countries, which will rise to 1.2%, and those of the European Union as a whole, which will reach 1.4%. The major economies of the European bloc will continue to register low growth figures: Germany will be at 0.9%, France will rise to 1.1%, and Italy to 0.6%.<\/p>\n
Brussels also points out that Spain will once again comply with the European Union’s deficit rules and, like last year, in 2026 it will again register a 2.4% deficit, 0.6% tenths less than the maximum allowed by the community regulation. And, in 2027, the percentage will drop even further, to reach 2%. The European Commission explains that these percentages are due to the growth of the State’s nominal GDP and, above all, to the fact that “income from direct taxes remain solid”, as well as the entry into force of the global minimum tax on large multinational companies.<\/p>\n
The effects of the war in the Middle East<\/p>\n
Spain is also one of the member states that will least notice and be affected by the war initiated by Donald Trump in the Middle East. Brussels estimates that the price increase rate this year in the State will be one point higher than it had predicted before the energy crisis and places it at 3%, the same as the eurozone average. However, the European Commissioner for Economy, Valdis Dombrovskis, explained that “not all regions or countries in the EU” suffer the consequences of the conflict in the Middle East in the same way and stated that the states “least dependent on fossil fuel imports” and with more renewables, like Spain, are coming out less damaged. Regarding 2027, the European Commission projects an inflation in the State of 2.5%.<\/p>\n
However, the report by the community executive’s technicians warns that one of the “main risks” facing the eurozone and especially the State is a “potential weakening of tourist activity,” particularly of “the arrival of tourists coming from long distances.” “This may be due to the growing costs of travel and other mobility-related disruptions,” the report warns. Along the same lines, Brussels warns that the international uncertainty caused by the war in the Middle East could lead to “a period of more prudent behavior from the private sector,” which could lead to a reduction in investment and consumption.<\/p>\n","protected":false},"excerpt":{"rendered":"BrusselsWhile the eurozone continues to register an anemic economic growth, Spain remains the great economy that grows the…\n","protected":false},"author":2,"featured_media":88374,"comment_status":"","ping_status":"","sticky":false,"template":"","format":"standard","meta":{"footnotes":"","_share_on_mastodon":"0"},"categories":[104],"tags":[141,1388,211,210,71,1380,17754,4598,46973,1381,27735,19595,46972,3049,1967,37001],"class_list":["post-88373","post","type-post","status-publish","format-standard","has-post-thumbnail","category-brussels","tag-and","tag-as","tag-belgium","tag-brussels","tag-europe","tag-for","tag-forecasts","tag-it","tag-locomotive","tag-of","tag-only","tag-places","tag-revises","tag-spain","tag-the","tag-upwards"],"share_on_mastodon":{"url":"https:\/\/pubeurope.com\/@dk\/116612223924867639","error":""},"_links":{"self":[{"href":"https:\/\/www.europesays.com\/dk\/wp-json\/wp\/v2\/posts\/88373","targetHints":{"allow":["GET"]}}],"collection":[{"href":"https:\/\/www.europesays.com\/dk\/wp-json\/wp\/v2\/posts"}],"about":[{"href":"https:\/\/www.europesays.com\/dk\/wp-json\/wp\/v2\/types\/post"}],"author":[{"embeddable":true,"href":"https:\/\/www.europesays.com\/dk\/wp-json\/wp\/v2\/users\/2"}],"replies":[{"embeddable":true,"href":"https:\/\/www.europesays.com\/dk\/wp-json\/wp\/v2\/comments?post=88373"}],"version-history":[{"count":0,"href":"https:\/\/www.europesays.com\/dk\/wp-json\/wp\/v2\/posts\/88373\/revisions"}],"wp:featuredmedia":[{"embeddable":true,"href":"https:\/\/www.europesays.com\/dk\/wp-json\/wp\/v2\/media\/88374"}],"wp:attachment":[{"href":"https:\/\/www.europesays.com\/dk\/wp-json\/wp\/v2\/media?parent=88373"}],"wp:term":[{"taxonomy":"category","embeddable":true,"href":"https:\/\/www.europesays.com\/dk\/wp-json\/wp\/v2\/categories?post=88373"},{"taxonomy":"post_tag","embeddable":true,"href":"https:\/\/www.europesays.com\/dk\/wp-json\/wp\/v2\/tags?post=88373"}],"curies":[{"name":"wp","href":"https:\/\/api.w.org\/{rel}","templated":true}]}}