The Spanish Economy Minister, Carlos Corpore, announced on Tuesday an increase in review of the country’s GDP growth prognosis in 2025, with 2.7%, compared to 2.6% before.
“I think it is a cautious prognosis compared to what we can expect,” added Carlos Body at the press conference that followed the Council of Ministers:
“The Spanish economy always has clear signs of vigor, both in the short and in the medium term, and we continue to accumulate, day after day, good economic news.” At the beginning of the year, the Spanish government had raised its 2.6% growth forecast, compared to 2.4% before.
“In 2024, Spain was the advanced economy that I believed most in the world and, according to forecasts for this year 2025, we hope that this is still the case,” said Carlos body.
Spain, the economic engine of Europe
For its part, the Bank of Spain also indicated its growth forecast on Tuesday from 2025 to 2.6%, two tenths more than was projected above, thanks to the most favorable performance of the expected of the fourth economy in the euro zone.
“The Spanish economy (…) continues to show a remarkable resilience in the current international context and registered more favorable than expected in the second quarter,” said the Spanish bank in the last update of its macroeconomic projections.
After a growth of 3.2% in 2024, Spain maintained its growth rate at the beginning of the year, with a 0.6% increase in the first quarter and 0.7% in the second, which goes to eight consecutive quarters with an increase in GDP of more than 0.6%.
The performance of the last quarter, well above that of the euro zone, where the growth between April and June was 0.1%, exceeded the projections of the Spanish bank, which had soon reviewed its prospects by 2025 due to the uncertainties of the global economy. “Spain has positive prospects until 2028, with a robust, balanced and sustained growth in solid bases (…) despite the complex international context,” he welcomed Carlos body.
However, the exhibition of Spain with the commercial confrontation that opposed the United States and Europe until the agreement found in July around a 15% tax in European products exported to the United States, is “weak compared to several (SUS) European partners, because only 5% of Spanish exports are to the United States,” he had remembered the Minister to the AFP in mid -June.
Spain imports more than exports to the United States
According to the Spanish Bank, the country exported last year for 16.2 billion goods in the United States, its sixth commercial partner. A lower level than imports, which reached 26.8 billion euros.
“Even if the Spanish economy has managed to overcome the complex international environment and the high degree of uncertainty around economic policies so far, we cannot exclude a possible deterioration of the external context or that this uncertainty has a more negative impact than that observed so far,” however, the Bank of Spain warned on Tuesday.
The latter has also reviewed its inflation forecasts by 2025, 2.5% (+0.1 points).
“Growth is a necessary but not sufficient condition. (…) We must be able to ensure that this growth is in a daily improvement for citizens,” he insisted: “We are moving forward in the right direction, but there is still a path to follow.”
Source: BFM TV
