The Bank of Spain will make “a significant downward revision” of its growth forecasts for the Spanish economy for this year, which currently stands at 6.3% for this year. This was anticipated by the governor of the Bank of Spain, Pablo Hernández de Cos, during his appearance in Congress to assess the State Budget project for 2022 presented by the Government.
Hernández de Cos still avoided specifying the new forecasts -which will be presented in December within the communication strategy of the European Central Bank-, but he did explain that the correction is due to the drastic downward revision of the growth data for the second quarter that he published the INE at the end of September and that meant cutting it from the 2.8% initially estimated in July to 1.1%. In its December forecasts, the Bank of Spain will adapt its estimates to the new scenario described by the INE. “The forecasts are out of date,” De Cos said.
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What is certain is that the new forecasts of the Bank of Spain will be further away from those used by the Government to build the State Budget project for 2022, which foresee an advance of 6.5% this year and 7% the next. The lower rate of execution of investment linked to European funds is, according to the governor of the Bank of Spain, one of the reasons that justify that its forecasts are lower than the official ones.
However, on this occasion, the analysis of the Bank of Spain of the accounts of the following year
Reference-www.elperiodico.com