European Central Bank chief Mario Draghi thinks Spain is on the right track towards economic recovery.
In Madrid to address members of parliament during a closed-door session, Draghi said he sees positive signs and substantial progress.
He praised Spaniards for their great efforts to fight the crisis, said the Spanish bank rescue programme was showing results.
After talking to lawmakers, Draghi told reporters: “The economic situation, the social situation, are difficult and the people are going through difficult times. But I also told that Spain is on the right track, and today banks in Spain have a much healthier balance sheet. Today Spain has what probably is the most advanced recovery and resolution system for banks in the euro area.”
Draghi is seen by many as Spain’s saviour. With the country’s banking system swamped with toxic debt, last year it looked like Madrid was going to be forced to ask for a sovereign bailout from the EU and International Monetary Fund.
But the European Central Bank’s promise to safeguard the euro with a bond-purchase plan lowered Spain’s borrowing costs.
Draghi may be seeing “positive signs” but the Spanish people would be hard pushed to name them, particularly with more than a quarter of the working population jobless and over half of young Spaniards without work.
Copyright © 2014 euronewsMore about:
- 1Micro-management: why small businesses are flourishing in Latvia
- 2EU car industry continues recovery but pre-crisis sales levels ‘unlikely’
- 3WTO’s and Germany’s cautious optimism
- 4Easter eggs: Economic crisis does little to dampen demand
- 5Russian economy in the red as investment slumps and capital flies
- 1Russian economy in the red as investment slumps and capital flies
- 2Russia cannot ignore power of the markets
- 3German economy set for strong growth, but with Ukraine overshadowing forecasts
- 4Micro-management: why small businesses are flourishing in Latvia
- 5Ukraine launches criminal probe into Russian bank
Wires > Business
- 18:33 CET Lexus aloof from China production while Nissan, Honda step in
- 18:05 CET Mercedes, BMW chase ultra rich clients with new high end cars
- 18:05 CET GM to battle VW in China with $12 billion investment and new plants
- 18:00 CET GM to battle VW in China with $12 billion investment and new plants
- 17:39 CET Mercedes, BMW chase ultra rich clients with new high end cars
- 16:53 CET Kuwait’s Zain says sued for $4.5 billion over Iraq telco buy
- 16:04 CET Pfizer considers $100 billion bid for AstraZeneca – report
- 14:25 CET GM to invest $12 billion in China and plans more plants