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February 20, 2014

Spain’s economy will grow by 1 % in 2014

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The National Bank of Spain published their forecasts for the development of the Spanish economy this year. Head of the main financial institutions in the country , Luis Maria Linde, expressed confidence that the Spanish economy will rise and the country's GDP will grow this year by 1% , which will give rise to the creation of jobs , as required in Spain. In addition, Linde said that the Spanish export activity will continue to play an important role and will make a noticeable positive contribution to the overall development of the economy. Such conclusions presented the head of the National Bank of Spain at the official press conference, answering journalists' questions about the future development of the Spanish economy.

The official forecasts of the Spanish Government support figure of 0.7 % of GDP in Spain post in 2014 , although the country's Minister of Economy , Luis de Guindos , called the number of 1 % , based on the improvements of predictions , which is a very optimistic vision of the current economic situation in country.

At the same time, the head of the National Bank of Spain named the factors that can hinder or even prevent the upcoming release of the crisis in Spain and the local economy. Among these factors were named high indebtedness real estate market, the explicit dependence of the Spanish economy from external financing , the process of destruction of jobs and the deterioration of the budgetary system . Based on the above stated factors and their impact on the Spanish economy , Linda said that in the near future ” growth of economic activity in Spain will be moderate”.

In the second half of 2013, Spain began the process of recovery and move toward a full recovery from the economic crisis. Spain officially able to emerge from a technical recession, which fell at the end of 2011 . The main factor for this was the national momentum that got the country . There was a partial restoration of purchasing power of Spanish families , as well as halt the destruction of jobs in the country . This was made possible, according to Linda, through constructive reforms adopted by the Government of Spain.

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