Artículos

New era, new strategy: the ECB’s revised approach to monetary policy

2 agosto 2021

On 8 July 2021, the European Central Bank revealed its revised monetary policy strategy. It had been a long time coming: the previous strategy had been in place for eighteen years and even then had not changed much from the original strategy agreed in October 1998, just prior to the launch of monetary union. A review to be concluded by the end of 2020 had been announced in January 2020, but was extended in April 2020, because of the pandemic, until the second semester of 2021.

• Funcas Europe

Autores: Begg, Iain

Institutional reforms: A source of productivity gains for the Spanish economy

22 julio 2021

Spain’s declining total factor productivity is partially attributed to institutional weaknesses in areas such as transparency, the justice system, regulation, and government coordination. If left unaddressed, it could undermine Spain’s successful transition to the digital/green economy.

• Economía pública
• Macroeconomía

Autores: Arias, Xosé Carlos

Etiquetas: Institutional Framework

The outlook for the deficit: The calm before the storm

It will require a concerted effort to bring down Spain’s deficit and debt levels, involving higher annual reductions than those prior to the pandemic. However, it is not just the central government which needs to address this issue, with many regional governments facing financial challenges ahead.

• Fiscalidad
• Gasto público y regulación económica

Autores: Lago Peñas, Santiago

Etiquetas: Fiscal Accounts

The Spanish housing market post COVID-19

While COVID-19 did lead to an initial correction in Spain’s housing market, costs of homepurchases have continued to rise, albeit with some differences across regions and type of housing. This has furthered a debate around housing affordability, including some misguided calls for rent controls.

• Análisis financiero
• Macroeconomía

Autores: Carbó Valverde, Santiago, Rodríguez Fernández, Francisco

Etiquetas: Housing Market

Decoupling between non-performance and provisions

Surprisingly, Spain saw its banks’ non-performance ratio fall during the crisis alongside a significant provisioning effort. However, if banks are to absorb their pandemic-related losses by the end of 2022, they will need to step up their provisioning by 20-25% compared to 1Q2021 levels.

• Banca

Autores: Alberni, Marta, Rodríguez, María, Troiano, Federica

Etiquetas: Provisioning Outlook