RaboResearch - Economic Research

Economic Report

Spain: Strong recovery does not justify complacency

To preserve healthy economic growth rates in the medium term, the Spanish government should speed up the labour market recovery and deal with remaining challenges. Elections in 2019 could break the reform deadlock, but not necessarily in a positive way.

Special

The crisis and recovery of Spain’s labour market

During the crisis, unemployment in Spain increased rapidly. In the past years, employment has substantially recovered due to strong economic growth and labour market reforms. That said, the unemployment rate is still high and significant challenges remain.

Special Dutch version

Can fiscal policy fill the gap?

The ECB has little possibilities to stabilize the economy in case of a new recession. Therefore it is important that Eurozone countries have fiscal policy space to fill the gap. Unfortunately the Eurozone countries do not seem to have enough buffers.

Economic Report Dutch version

Spain is not Italy!

Unlike in Italy, Spain’s new government is very much pro-EU and has indicated to comply with the European budget rules. The economic impact of the government shuffle will expectedly be very limited in the short term. Early elections are likely.