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Published on Thursday, May 30, 2019 | Updated on Friday, May 31, 2019

Spain Regional Watch. Second quarter 2019

The Communities of the Centre are improving; the delay in exports conditions the north of Spain and consumption is resisting the slowdown in the east

Key points

  • Key points:
  • In 2018, the slowdown in activity was generalized by region, with a particularly intense loss of dynamism in the industrial sector and a slowdown in tourism
  • Household spending performed well, partly as a result of fiscal stimulus and an expansionary monetary policy at start of 2019
  • The evolution of regional economies will continue to be characterized by four aspects: the deceleration of private consumption, less dynamism in the tourism sector, the maintenance of investment and the progressive improvement of exports of goods
  • Risks include the impact of trade tensions on specific sectors, a low-growth environment in major trading partners, the lack of an engine sector to replace tourism in job creation in some communities, or uncertainty about economic policy

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