Off the wire
• Survey finds almost one-third of Austrian adults single  • Czech Republic suggests launching Central European pilots training center  • 1st LD: 6 killed, 30 injured in 3 big blasts in Egypt's Sinai  • Iraqi parliament approves 2015 draft budget  • Security Council renews UN peacekeeping mission in Cyprus  • Algerian parliament approves anti-terrorism funding bill  • PACE launches anti-racism campaign  • Wide gap exists between scientists, U.S. public over science issues: survey  • Urgent: 6 killed in 3 blasts in Egypt's Sinai  • China, Kazakastan eye more cooperation on processing industry  
You are here: 　 Home

Unemployment remains Spain's outstanding issue: minister

Xinhua, January 30, 2015 Adjust font size:

Spanish Minister of Economy and Competitiveness Luis de Guindos said on Thursday that unemployment was Spain's outstanding issue.

Speaking on Spanish radio station, Capital Radio, de Guindos said Spain would not leave the crisis behind unless unemployment rate fell by 10 or 12 percentage points.

The unemployed population in Spain fell by 477,900 people in 2014 to reach 5.4 million, according to the Inquest into the Active Population (EPA) published on Jan. 22.

Long-term unemployment was one of the biggest problems, De Guindos said. Long-term unemployment especially affects people who worked in the construction sector before the housing bubble burst in Spain in 2008, which triggered the financial crisis.

However, he is confident data will get better, thanks to an appropriate employment policy, he said.

When asked about the rise of salaries, de Guindos said the creation of new jobs is the priority of Spain.

Low inflation rate, government's cut of income tax this year and lower prices of fuel will offset the impact of slow salary increase, according to him.

Spain's energy balance has been improved and it is expected to save between 10 billion euros (11.3 billion U.S. dollars) and 15 billion euros depending on the change of fuel prices in the upcoming months, he pointed out.

Regarding Spain's economic forecasts, de Guindos did not rule out revising up the government's forecasts. So far, the government expects a GDP growth of 2 percent for 2015, but the figure will be revised in April.

It is important to be prudent when it comes to forecasts, he said, adding false expectations should not be created. (1 euro = 1.13 U.S. dollars) Endit