The Vice President and Minister of Economic Affairs, Nadia Calviño, at a conference at the University of A Coruña. (Photo: Europa Press News via Getty Images)
Good news for the Spanish economy. After the severe blow inflicted by the coronavirus pandemic, Spain will lead growth in the euro area in the coming years and, if the forecasts are met, it could recover the level of gross domestic product (GDP) prior to the pandemic by the end of 2022.
This is what the European Commission believes, which has improved its forecasts on the Spanish economy for 2021 and 2022 on Wednesday. Brussels foresees a growth in Spain’s GDP of up to 5.9% this year and 6.8% next year. .
These spring forecasts imply higher economic growth compared to what the community authorities calculated in February. The estimate for this year improves by three tenths, since it stood at 5.6%, and increases one and a half points for next year, because it was 5.3%.
The update of the forecasts is mainly due to two reasons. In the first place, the improvement in economic activity thanks to the end of restrictions and the vaccination campaign. Second, the arrival of European funds.
The European Commission points out that the lifting of restrictions and the acceleration of the vaccination rate will allow economic activity to recover in the second quarter – between April and June – and remain solid in the second half of the year. The savings accumulated by families during the restrictions can serve to boost consumption.
Obviously, the arrival of European funds and the recovery plan will also serve to boost the Spanish economy. These will play a “decisive role” in driving the rebound of the economy and …
This article originally appeared on The HuffPost and has been updated.