16 Oct, 2011 @ 18:55
1 min read
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Further cuts ahead for Spain despite million-strong 15-M protests

SPAIN is expected to miss its crucial growth targets this year and face more cuts.

The news comes as up to a million protesters marched in 80 cities at the weekend in opposition to further austerity measures.

The mostly peaceful marches led by the 15-M group demanded more jobs and end to political corruption, as well as the stemming of more cuts in benefits.

In Barcelona organisers claimed 250,000 people marched, while in Madrid protesters brought the city to a standstill and seized an empty hotel in the city centre.

In Cordoba and Sevilla marchers focussed on corruption and forced mortgage repossessions, which have become a heated topic in recent weeks.

There were further protests in 951 cities in 82 countries around the world.

Some 5000 protesters blocked access to the European Central Bank in Frankfurt, while 1000 protesters, including Wikileaks leader Julian Assange marched on London’s Stock Market.

But the protests came after two ratings agencies Standard & Poor and Fitch downgraded Spain’s credit rating to AA-minus.

Both agencies believe that the economy will grow well below the predicted 1.3per cent set at the beginning of the year and there are more cuts ahead.

The main issues are poor growth, unstable regional authorities and huge levels of private debt.

Most analysts and the agencies predict 0.8 per cent growth by the end of 2011.

Spain’s finance minister Elena Salgado blamed the downgrade on “global financial tension”.

But a number of analysts also blamed the high spending in Spain’s regions.

“The autonomous regions are to blame,” said IG Markets’ Daniel Pingarron.

The 17 regions, which enjoy financial autonomy, are a recurrent source of concern for the markets because of their high debts and failure to hit deficit targets.

Between them they owe over 133 billion euros, or around 12.4 per cent of the country’s GDP.

Jon Clarke (Publisher & Editor)

Jon Clarke is a Londoner who worked at the Daily Mail and Mail on Sunday as an investigative journalist before moving to Spain in 2003 where he helped set up the Olive Press.

After studying Geography at Manchester University he fell in love with Spain during a two-year stint teaching English in Madrid.

On returning to London, he studied journalism and landed his first job at the weekly Informer newspaper in Teddington, covering hundreds of stories in areas including Hounslow, Richmond and Harrow.

This led on to work at the Sunday Telegraph, Sunday Mirror, Standard and even the Sun, before he landed his first full time job at the Daily Mail.

After a year on the Newsdesk he worked as a Showbiz correspondent covering mostly music, including the rise of the Spice Girls, the rivalry between Oasis and Blur and interviewed many famous musicians such as Joe Strummer and Ray Manzarak, as well as Peter Gabriel and Bjorn from Abba on his own private island.

After a year as the News Editor at the UK’s largest-selling magazine Now, he returned to work as an investigative journalist in Features at the Mail on Sunday.

As well as tracking down Jimi Hendrix’ sole living heir in Sweden, while there he also helped lead the initial investigation into Prince Andrew’s seedy links to Jeffrey Epstein during three trips to America.

He had dozens of exclusive stories, while his travel writing took him to Jamaica, Brazil and Belarus.

He is the author of three books; Costa Killer, Dining Secrets of Andalucia and My Search for Madeleine.

Contact jon@theolivepress.es

1 Comment

  1. Spain’s finance minister Elena Salgado blamed the downgrade on “global financial tension”. YES!!!Sounds like a truly inexperienced Minister, blaming the problem on someone else!
    She MUST go out with Zapatero!

    But a number of analysts also blamed the high spending in Spain’s regions. “The autonomous regions are to blame, said IG Markets’ Daniel Pingarron. The 17 regions, which enjoy financial autonomy, are a recurrent source of concern for the markets because of their high debts and failure to hit deficit targets. Between them they owe over 133 billion euros, or around 12.4 per cent of the country’s GDP.” The Autonomous regional governments must GO if Spain wants to control spending & regain Market confidence. If not = 0!

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