Spain to spend EUR 33 billion to revive economy

15th December 2008, Comments 0 comments

Zapatero announces plans to spend EUR 22 billion more on public works programmes to fight recession for 2009.

MADRID – Spain's prime minister Saturday promised the government would spend EUR 33 billion next year in an "historic" effort to kick-start an economic recovery amid the global downturn.

Jose Luis Rodriguez Zapatero said that 2009 "would be an historic year in terms of launching public works programmes".

Of a total of EUR 33 billion, 19 billion would go toward transport infrastructure, 5.0 billion on projects linked to the environment and 8.0 billion invested in local authorities, he told a meeting of Socialist mayors.

On 27 November, the government announced an 11-billion-euro economic stimulus package for 2009 to help the country cope with the global financial crisis.

The figures quoted by Zapatero on Saturday include that plan as well as other spending plans that had not yet been evaluated.

Spain's economy, once one of the most dynamic in the eurozone, is on the brink of recession after gross domestic product contracted 0.2 percent in the third quarter as unemployment soared to 11.3 percent.

[AFP / Expatica]

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