The Spanish economy looks to be crawling out of the swamp of recession as the government delivered a budget free from unpopular cuts to health and education and no tax rises.
The 2014 budget package is based on estimates that GDP will grow 0.7 percent up from the 0.5 percent predictions.
The financial plan marks a change from 2013, a budget packed with tax hikes and spending cuts.
Economic Minster Luis de Guindos expressed his hopes for a better 2014: “Europe’s developed countries saw a sharp decline in economic activity in 2009. Yet in 2010/11 they recovered. Spain saw a tiny 0.1 percent growth in 2011 and in 2012 we had another fall. Next year there will be the first real signs of increased economic activity.”
Any economic boost is welcome, but the country is still racked by high unemployment currently running at 26.3 percent with 55 percent of those under 25 out of work.
The government believes the total number of those without jobs will fall slightly next year, but not enough to boost tax revenue.
With retail sales still sluggish and inflation near zero the country is not yet out of the mire.
Copyright © 2014 euronewsMore about:
- 1euronews live TV - News | euronews : the latest international news as video on demand
- 2Now is ‘right time’ for Catalonia independence vote, says Mas | euronews, world news
- 3Vatican rocked by another paedophilia scandal | euronews, world news
- 4Two container ships collide on Egypt’s Suez Canal | euronews, no comment
- 5British Muslims’ message to ISIL: Not in my name! | euronews, world news
- 6Sweden becomes first European nation to recognise Palestine | euronews, world news
- 7Algeria: ISIL offshoot releases video threatening French hostage Hervé Gourdel | euronews, world news
- 8How nasheeds became the soundtrack of jihad | euronews, world news
- 9International tv news | euronews: European and International tv news bulletin
- 10Revealed: Europe’s capital cities where it’s hardest to be a foreigner | euronews, world news
- 11European Union News | euronews: latest breaking news and headlines about European Union
- 12Emma Watson threatened with naked photos leak after UN equality speech | euronews, world news
- 13Iceland volcano ‘pollutes Paris’ | euronews, world news
- 14Ebola: Six new suspected cases in Spain | euronews, world news
- 15Learning through “serious games” | euronews, learning world
- 16euronews speaks to Ban Ki-moon ahead of key UN and climate change talks | euronews, the global conversation
- 17All you need to know about the Ebola virus | euronews, world news
- 18US delivers technical aid to Ukraine but warns over security | euronews, world news
- 19euronews apps : iPhone, iPad, Android, Windows Phone 8, Windows 8, Nokia S40, Nokia Asha, Smart TV and Google Glass
- 20Global warming to ‘cause 250,000 extra deaths a year’ | euronews, world news
Wires > Business
- 23:41 CET Options investors see good times rolling for Facebook
- 23:34 CET Microsoft sales beat Street hopes, cloud profits up
- 23:33 CET Microsoft sales beat Street hopes, cloud profits up
- 23:32 CET China local debt fix hangs on Beijing’s wishful thinking
- 23:08 CET Amazon’s holiday-quarter forecast disappoints, shares dive
- 23:02 CET GM Financial receives second subpoena into subprime auto lending
- 22:53 CET Rengan Rajaratnam, SEC agree to settle civil insider trading case
- 22:42 CET Pfizer board authorizes $11 billion share repurchase