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Europe Live Friday 24th May 2013

Austerity budget for Spain

30th April 2012

The Spanish government revealed its economic forecasts on 27th April for the next few years, hoping for slight growth of 0.2% of the GDP in 2013 and aiming for budgetary balance in 2016. "In 2013 we are banking on slight GDP growth" of 0.2% declared Economy Minister, Luis de Guindos after the Council of Ministers - just as the country entered recession again this quarter and should, according to the government see a contraction of 1.7% in its GDP in 2012. On 24th April the Spanish Budget Minister Cristobal Montoro announced that the 2012 budget would be "the most austere in democracy". He also said that this budget was necessary to overcome the crisis and to face up to the recession that Spain had announced a week prior to this.

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