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HomeLatest NewsAiref calculates that the Spanish economy grew by 5.3% in 2022

Airef calculates that the Spanish economy grew by 5.3% in 2022

Date: December 10, 2023 Time: 07:40:44

The Independent Authority for Fiscal Responsibility (AIReF) calculates that the Spanish economy grew by 5.3% in 2022, nine tenths more than expected and in line with the Government’s estimate, which points to an increase of more than 5%.

AIReF has published this Monday the update of its economic forecasts, which indicate that the public deficit would close 2022 at 4.5% of GDP, two tenths more than what was stated in its latest estimates, but below the target of 5% of GDP. GDP marked by the Government.

AIReF attributes the improvement in its economic growth forecast for 2022 -the advanced data will be released on January 27- to the incorporation of the latest national accounting data, which suggests greater growth in the fourth quarter. For 2023, AIReF expects economic growth of 1.6%, one tenth more than in its previous forecast, given the containment of the prices of energy raw materials and a better-than-expected end of 2022. The Government estimates that the economy will grow by 2.1%.

Despite the containment of energy prices, the Authority has revised its inflation forecast for 2023 upwards, to 4.2%, since there are elements that “seem to point” to a greater persistence of this episode. As regards the public deficit, AIReF has raised its estimate for 2022 by two tenths, up to 4.5% of GDP, given the worst performance in the final part of the year.

The impact is concentrated in the Central Administration – which will close 2022 with a deficit of 3.1% of GDP, one tenth more than indicated in the last estimate – due to the cost of the latest measures adopted by the Government and the autonomous communities – will accumulate a deficit of 1.1% of the GDP – due to the higher spending forecast. The Social Security deficit will stand at 0.5% of GDP, while local entities will achieve a surplus of 0.2% of GDP.

The profit in 2022 is 13% (14.8% in cash terms), with significant increases in the main taxes: 16% in personal income tax, 22.4% in companies and 14.4% in VAT . Income from social security contributions will grow by 4.6%.

* This website provides news content gathered from various internet sources. It is crucial to understand that we are not responsible for the accuracy, completeness, or reliability of the information presented Read More

Puck Henry
Puck Henry
Puck Henry is an editor for ePrimefeed covering all types of news.

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