Revisión de socios sobre economía en España y Portugal.
Economic condition of Spain and Portugal
The global financial crisis that started in 2008 and the resultant prolonged recession hit the economies of both Spain and Portugal hard.
In 2009, the GDP of Spain contracted by 3.7%, which brought an end to a 16-year growth trend. The GDP’s contraction continued through most of 2013. It was in 2013 when the Spanish government successfully supported the struggling banks, which have been exposed to the nation’s depressed construction sectors and collapsing real estate. In January 2014, Spain’s financial sector got a new lease of life when the government completed a recapitalization and restructuring program for its financial sector funded by the EU.
Though Spain marked 2016 as the third full year when it had positive economic growth in nine years, its unemployment rate is still a big concern. For most of the past eight years, Spain’s youth unemployment has remained mostly north of 40%. The situation improved somewhat over the recent years when unemployment reduced to 20.8% in 2015 and then came down further to 18.5% in 2016.
The global recession also hit Portugal hard, which made its economy contract in 2009. Due to the government’s implementation of increased taxes and spending cuts to comply with conditions laid down by an EU-IMF financial rescue package (which was signed in May 2011), the economy contracted again between 2011 and 2013. After Portugal exited its EU-IMF program (in May 2014), the economy recovered somewhat by 2015 due to private consumption bouncing back and a robust export performance.
In 2016, though the first half experienced a decrease in growth, the last two-quarters saw a rebound, which made the nation register a figure of 1.4% for the year. But like Spain, Portugal to is battling a high unemployment problem. From a high rate of 18% in 2013, unemployment was down at 10.2% by the end of 2016.
These dismal numbers associated with unemployment (especially, of the young population) in both the countries underscore the tough task that many young people face when trying to search for jobs that match their education and aspirations.
High unemployment in Spain and Portugal have made scores of young people frustrated. Though many of them are still living with their parents and families, a significant number of others have left their homes and families with an aim to move to new countries in search of jobs.