Spain Have Clawed Their Way Out Of Recession
Spain is one of the hot spots for Brits looking to move abroad, and as such the Mediterranean country is considered home for those British expatriates in Spain. But since 2010 Spain have been fighting recession, just like the UK. However, this has all changed, with Spain finally breaking free of their financial troubles which go back to 2008. Figures from their central bank, have shown that Spain has experienced economic growth to the tune of 0.1% in the third quarter of this year.
The fact that growth has been witnessed is a positive sign, even though the size of increase is minute. With that in mind Spaniards and all those British expatriates in Spain, will be hoping and praying that this is a positive sign that their country has now escaped the worst recession in modern times. This one recession single-handedly wiped 7% of their GDP, it saw unemployment levels rise up to 26%, and to make it worse it also managed to completely pop a property bubble that thrived over 10-years.
Exports and tourism lead the fightback
Growth has been put down to stronger exports and tourism, record high number of visitors and many more British expatriates in Spain. While also enjoying a higher amount of foreign investment. The majority of this has gone into Spanish property, but the combination of all these factors means that Spain’s economy has come 180 degrees.
Despite the growth that has been seen, there is still a huge amount of work that needs to be done before anyone can safely say the recession is in the past. Some of the pressing issues that require solving immediately are poverty, and also getting the housing market to the stage where the Spanish are able to invest in property instead of foreigners.
Caritas, which is a Spanish charity, reported that since 2008 almost 3.7 million jobs were lost. The problem with the growth that has been seen, is the memories it brings forth from 2010 and 2011. When a economic growth of 0.3% was seen, but a double dip recession was witnessed soon after. So this story is yet to have its ending, will it be a happy one?