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Global Macro-Market Outlook

Spain: September 2010 Outlook Update

By Elisa Parisi-Capone
Sep 10, 2010 | Last Updated
Global Economics Outlook, GDP and CPI data for Spain

  • RGE expects Spain to experience another negative quarter during H2 2010 before the economy stops contracting in 2011. We view net exports as the main growth driver in the quarters ahead. 
  • The cyclical saving/investment realignment is proceeding as shown in the current account dynamics. In the longer term, a structural reorientation toward the tradable sector is necessary.
  • The labor market has not yet stabilized and the implementation of labor and product market reforms is essential to restore the economy’s growth potential.

Outlook Update: Another Negative Quarter in H2

Although[...]

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