Bank of Spain raises 2017 growth forecasts to 3.1%
Thursday, June 15, 2017 @ 12:40 PM
The Bank of Spain has raised it growth predictions for this year by 0.3% to 3.1 % as the country looks set to sustain its strong growth momentum.
It is forecast to be 2.5% in 2018 - also 0.3% higher than the forecasts published in April, and 2.2% in 2019.
The government forecasts for economic growth, however, stand at 2.7% for this year, below projections made by the majority of entities, and 2.5% in 2018.
"The improved GDP growth projections are underpinned by the better outlook for global markets, particularly over the short term, lower oil prices, and lower interest rates," said the bank.
A prolongation of the growth phase is predicted for the 2017-2019 period, based on three factors: the competitivity profit accumulated since the beginning of the recession, lower debt in the private sector and a continuation of these favourable financial conditions.
With regards to the relative weight of each of the GDP components it says growth will continue in line with domestic demand, which will nevertheless
keep slowing down as overseas demand continues to rise.
Read more at thinkSPAIN.com