Spain: reducing the budget deficit needs to provide 40 billion euros

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Spanish Prime Minister Mariano Rajoy, to reduce the budget deficit to 4.4% of the GDP of his country by the end of this year, requires between 37 to 40 billion euros.

Quoted media for Rajoy call for further economic austerity measures aimed at reducing the public deficit and strengthen the transparency and competitiveness and boost economic growth and promote the welfare state in Spain.

He considered that the provision of jobs and new job is the most important priorities of the new Spanish government, noting in this context to the expectation of higher number of unemployed in Spain to 5.3 million by the end of last December.

The Spanish Prime Minister that his Government will launch a plan to restructure the financial sector, the Spanish labor market reform in the first quarter of this year to strengthen the pillars of economic and restore market confidence and investors, as well as providing the appropriate atmosphere for the granting of the functions of a new work by providing the necessary facilities for small and medium enterprises.

The Spanish Prime Minister Rajoy stressed in a statement before the need to raise income tax during the years 2012 and 2013, as ruled out that the establishment of a banking institution “to buy bad debt” or raise the value added tax, believing that this will be just right of the Spanish people as a result of its impact of all segments of society.
The Spanish government revealed earlier this month that the deficit in the budget year, the Spanish more than 8% of GDP in 2011, after the former Socialist government was expected to decrease to 6% after it reached 9.24% in 2010.