Open

Coming up

Don't miss

Replay


LATEST SHOWS

BUSINESS DAILY

Budget challenge for India's new government

Read more

DEBATE

Africa's Newest Failed State: How to Stop Civil War and Famine in South Sudan? (part 2)

Read more

DEBATE

Africa's Newest Failed State: How to Stop Civil War and Famine in South Sudan?

Read more

MEDIAWATCH

Israeli strikes on Gaza as seen on social media

Read more

INSIDE THE AMERICAS

World Cup humiliation for host nation

Read more

DEBATE

Israel and the Palestinians: How to Break the Cycle of Violence?

Read more

AFRICA NEWS

Somalia : Al Shebab attack on presidential palace

Read more

FOCUS

Sharia law to be enshrined in British legal system?

Read more

ENCORE!

How a comedy dud became one of France's biggest box office hits

Read more

  • Israel steps up airstrikes as diplomacy gets under way

    Read more

  • Argentina beat Netherlands on penalties to reach World Cup final

    Read more

  • Foiled French jihadist ‘targeted Louvre and Eiffel Tower’

    Read more

  • Obama in Texas to urge congressional action on child migrant crisis

    Read more

  • Iraq’s heritage 'in danger' from ISIS militants

    Read more

  • Froome crashes out of Tour de France

    Read more

  • South Sudan independence heroes ‘have lost their way’

    Read more

  • 100 years on, the Tour de France returns to the Western Front

    Read more

  • Dozens of blindfolded bodies found south of Baghdad

    Read more

  • Alps Murder wife had ex-husband who died on same day

    Read more

  • Both candidates say they won Indonesian presidential election

    Read more

  • Brazil players should never wear 'sacred uniform' again, press says

    Read more

  • Exiled Syrian opposition elects new president

    Read more

  • Ukraine imposes new conditions on peace talks with pro-Russia rebels

    Read more

  • Sarkozy's UMP party 'almost €80 million in debt'

    Read more

Business

Economy set to stay in recession until 2010

©

Text by NEWS WIRES

Latest update : 2009-06-13

Spain will remain in recession until 2010, with the country due to shrink 3.6 percent in 2009, two percent more than previously forecast.announced. Economy Minister Elena Salgado said the unemployment rate will remain high until 2012.

AFP - Spain more than doubled its estimate of contraction in the economy this year to 3.6 percent from 1.6 percent forecast previously, in an estimate on Friday.

Speaking after a cabinet meeting, Economy Minister Elena Salgado also said that the government expected the economy to shrink by 0.3 percent next year, recovering to growth of 1.8 percent in 2011 and 2.7 percent in 2012.

She forecast the country's public deficit, which comprises the central government budget, social welfare budgets and local authority finances, would equal 7.9 percent of gross domestic product in 2010 and 5.2 percent in 2011.

These figures are well above the limit of three percent set by European Union rules.

She said that the unemployment rate, which has shot up since the beginning of the economic crisis, would remain high for several years, at 17.9 percent this year, 18.9 percent next year, 18.4 percent in 2011 and 17.1 percent in 2012.
 

Date created : 2009-06-12

Comments

COMMENT(S)