Torres, Raymond

Private investment: The weak link in Spain´s expansionary phase

Despite strong growth and unprecedented EU funding, private investment in Spain has
failed to recover to pre-pandemic levels, reflecting a persistent gap between the country’s favourable macroeconomic conditions and corporate investment behaviour. Heightened uncertainty and structural impediments have limited the crowding-in effects of public investment, weakening incentives for firms to commit capital despite supportive financing
conditions.

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