Spain

Another week, another Euro deal. This time, Spain has secured a $125 billion bailout of its essentially bankrupt banking system, saving it from the consequences of the construction bust – for the time being. But the cost will essentially be passed on to the country’s sovereign debt, exacerbating Spain’s other problem: how to stabilise the […]

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MetalMiner welcomes guest commentary from Pepe Valderrama of Fullstep. Recent media coverage paints a dreadful picture of Spain’s current economic condition and outlook. Years of excess growth based on an enormous housing bubble and fueled by unusually loose monetary conditions — which burst in 2007 — seem to have brought the country to its knees. […]

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Continued from Part One. Although its government finances don’t look so bad relative to Italy’s, Spain has the potential to go the way of Ireland, where relatively low government debt ballooned as the state was forced to bailout banks. As with Ireland, the problem will be the property market; in Spain’s case, it is the […]

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Continued from Part One. Across Europe, figures understandably vary. Whereas Germany and France’s jobless rates held steady at 5.7 percent and 10 percent, respectively, Spain’s hit 23.6 percent in February, up from 23.3 percent in January and Greece’s was at 21 percent in December — since then, the authorities have been unable or unwilling to […]

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Outside of Europe, the Netherlands is often overlooked in the debt crisis debate and analysis, largely because it lacks the GDP of other core countries — $780 billion as compared to Germany’s $3.28 trillion and France’s $2.56 trillion. (Even Spain at $1.41 trillion and Italy at $2.01 trillion are considerably larger.) But the Netherlands is also overlooked […]

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Continued from Part One. In the autumn of 2010, the International Monetary Fund thought Greece would shrink by a rather modest 2.6 percent in 2011. We now know the economy last year fell about 7 percent. The Greek fiscal position was bad not only because of a lack of effort, but also because the economic […]

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Just when we thought the European debt crisis was behind us, at least for a while, it is back center-stage and frightening the markets. Not yet frightening them as much as it should…but give it time. As Greece slips from the front pages, the much larger problem of Spain takes the limelight. Spain Prime Minister Mariano […]

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