So today they announced that the official unemployment rate in Spain has exceeded 20% for the first quarter of the year, adding another 300,000 people to the jobless total
That makes 4.6m in total - is 5m the next milestone for this figure, or will things improve ?
Certainly the Spanish Government has plenty of other things to worry about, particularly with the credit rating cut and the potential circling of the bond market vultures.
The problem with the unemployment is that much of it has come from the construction and property related sectors, and those jobs are just not coming back, because until much of the unsold stock has been absorbed by the market, there just isn't going to be that much construction going on.
In terms of the property and mortgage market, another 300k unemployed puts more pressure on the banks that hold the mortgages of these people
I fear for Spain at the moment
Friday, April 30, 2010
Subscribe to: Post Comments (Atom)
Post a Comment