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Spain's positive growth differential with the EU is good news, but it can be exhausted and is not enough to reduce the gap between GDP per capita and productivity, which is the only engine capable of generating sustained growth.
There is tension in the public administration between how easy and fast public funds can reach businesses and families and the need to check that the funds will be used for the intended purpose. This causes delays in awarding subsidies and projects.
The Spanish economy delivered a strong performance throughout the first half of 2023, on the back of a gradual recovery in industrial activity within certain regions of Spain, coupled with an increase in exports, particularly of services, with …
The Spanish economy presents a strange case in which growth and stagnation coexist. This is due to the divergence in the trends shown by services on the one hand, and industry, agriculture and residential construction on the other.
Over the last decade, Spain has shown signs of a divergence in its GDP per capita with respect to the European Union. In these circumstances, it is not surprising that the Recovery, Transformation and Resilience Plan (PRTR) and European funds h…
In 1Q23, Spain recovered the GDP level of 4Q19, just before the COVID-19 crisis. The reasons for taking longer to do so than most European Union (EU27) countries are several, but an important one in terms of its implications is the slow recovery in investment.
Retaking the path of convergence toward the most advanced economies will require a great deal of success in the investment of the European NGEU funds and in the reforms, and also time, with results that will be measurable in the medium and long term.
The country's fixed capital accumulation is 5% below pre-pandemic levels, but the aggregate masks higher lags in some components.
In 2022, GDP growth in the Basque Country would have reached 4.4%. The recovery is expected to continue in 2023 and 2024, with advances of 1.3% and 2.9%, respectively. GDP and GDP per capita could return to the pre-pandemic level this year.
BBVA Research forecasts that Andalusia's GDP will grow by 1.3% in 2023 and recover pre-Pandemic levels. By 2024, the increase in activity will accelerate to 2.4%, and during that year it is expected to be able to recover GDP per capita.
Economic progress and welfare depend in the long run on innovation, productivity, and employment. The digital revolution and the energy transition are an opportunity for Spanish society, but also a considerable challenge.
Aragon's GDP is expected to grow by 3,3% in 2022, although the current economic slowdown will continue in the coming quarters. Regional GDP is expected to grow by 0,6% in 2023, due to the fall in European demand, higher energy and transport prices, and higher financing costs.
