Spain investing €6.3b to boost the economy
Spanish Prime Minister Mariano Rajoy has announced that Spain is set to reveal a new stimulus package worth €6.3b next week in an effort to finally jumpstart the job market that’s experiencing an unemployment rate of 26%.
Rajoy announced ‘Next Friday, the government will present a package of measures to increase competitiveness and productivity. The plan will include investments totalling €6.3b, of which €2.67b will come from the private sector and €3.63b from the public sector.’
The stimulus package is seen to create badly needed jobs and boost the country’s business sector. Some of its goals include credits to small and medium-sized firms and investments in transport and energy. Aside from the package, Rajoy said that the main rate of corporate tax will be slashed to 25%.
The Eurozone crisis of 2009 particularly hit Spain whose banks demanded a bailout by 2012. The country has now registered fast growth of up to 0.6% compared to last year, the fastest in 3 years. Spain announced it was out of recession October 2013.