Catalonia’s debt has grown over the years of crisis twice … – The World

Catalonia's debt has grown over the years of crisis twice … – The World

Since the crisis began, the debt of Catalonia has been quadrupled, to 61836000 ; and Madrid by two, to the 25018 . In absolute terms, Catalan debt has grown by 46,000 million while the Spaniard has been 15,000 . Are the results of the two largest regional economies. The total public debt of Spain reached a new record in June. He reached 1.013 billion, 98.9% of GDP .

Catalonia’s autonomy where debt has grown in absolute terms. Since the crisis began the hole has more than 46,000 million to 61,386 recorded in June compared to 15.776 million in 2007, according to data provided yesterday by the Bank of Spain on the indebtedness of all administrations.

This figure means that the indebtedness of the first regional economy as represents 20% of the Spanish GDP , has quadrupled in this period. Meanwhile, Madrid, the second regional GDP (19%), has increased its liabilities by just under 15,000 million to the 25,018 in the first half of the year , up from 10.103 million at the start of the crisis. This represents an increase of just over twice, ie half that Catalonia.

In terms of GDP, despite state aid, Catalan debt now accounts for 32.1% of its economy , nearly 19 points higher than in the Madrid community. In relative terms, it is Valencia who recorded a higher debt, reaching 35.7% of GDP. It follows Castilla-La Mancha, with 34.2%.

The debt of autonomy is unstoppable. Overall, increased by 22% in the last year (30,000 million) to reach 228.234 million (22.4% of GDP), almost four times more than at the beginning of the crisis .

The novelty of the information provided yesterday by the Bank of Spain is that it has series recalculated debt since 1995 with the European System of Accounts (ESA) 2010 . With the new approach, the hole in CCAA has increased over 4,000 billion has been incorporated since the debt was in the balance of some public companies and was noted outside the general administration.

This is one of the causes of the rise of Catalan debt as it is one of the regions most companies and public entities have and that, technically considered market can be computed outside the scope of the administration. That is, the Bank of Spain has decanting of that debt remansada outside the administrative perimeter because Brussels has tightened criteria. To be able to continue to have separate debt, must register a ratio of sales (revenues) and costs 50% . The novelty is that the costs must now be added the financial expenses. Therefore, some public enterprises, such as those dealing with urban planning, land or exhibition sets,) will now be passed to the general accounts of the government.

It also affects municipalities, much given to the crisis centrifuge deficit and debt creating these companies not counted towards the Stability Plan . Therefore, in June there has been a slight increase until the 41994000 , after five consecutive quarters of decline.

According to the Bank of Spain, this change has been a rise of the total debt of all the administrations of some 6,000 million in the June data. Therefore, from the initial advance debt 1,007 billion euros this month, at the end the figure is almost 1,013 billion, with hole in the central administration of 885,232,000, 65,000 more than a year ago .

This is another new record, as it assumes that each Spanish must now 21,800 euros, compared to 8,300 in 2007 This corresponds to 98.9% of GDP, the Government’s aim is 99.5%. However, the debt / GDP ratio in June, be recalculated on the 25th when the INE facilitates the nominal value of GDP at current prices, and that prostitution and soft drugs count as activity in the economy. This will be a national wealth growth between 2.7 and 4.5 points . Therefore, the debt in terms of GDP will drop by that amount and will be located near the 95%

& gt;. Overall debt. Public debt has increased by 628,845,000 euros since 2007, exceeding for the first time the billion euros. It stood at 1.013 billion, 164% more since the crisis began and 6.5% higher than a year ago

& gt;. States. The liabilities of the central government reached 885.232 million, also new record, compared to 318.869 million seven years ago

& gt;. CCAA. The debt rose by up to 11 Autonomous 228,234,000. In Catalonia, Valencia, Madrid and Andalusia concentrates 65%

& gt;. Municipalities. Overall, municipalities must almost 42,000 million. The Madrid is still the most owed to a ‘red number’ of 6.923 million.