The Diplomat
The President of the Government, Pedro Sánchez, yesterday assured foreign multinational companies that the Spanish economy is experiencing a “clear recovery” after the COVID-19 crisis and that international investment will account for 50% of national GDP by 2021.
The Chief Executive made these statements during a meeting at the Moncloa Palace with a delegation from the association Multinacionales Extranjeras por Marca España (Foreign Multinationals for the Spain brand), which brings together companies from different sectors in support of the Spain brand and the promotion of our country as an investment destination.
During the meeting, Sánchez highlighted the Government’s commitment to public-private collaboration in the development of the projects of the Recovery, Transformation and Resilience Plan and encouraged foreign companies to continue to support the Spanish economy within the framework of European funds. “We invite you to contribute with what you do best: creating projects and investments that serve to transform this country”, he declared.
The President of the Government also stated that both Spain and the European institutions responded quickly and forcefully to the economic crisis caused by COVID-19 and assured that Spain will have no problem with the large Treasury issues required to finance the deficit because they are in great demand from foreign investors, which, he said, is a reflection of international confidence in Spain.
In this context, Pedro Sánchez stated that Spain is overcoming the “worst expectations” that had been presented after the start of the pandemic and said that international investment “will account for 50% of GDP” in 2021 and that half of this investment will be earmarked for research and development.
He also assured that, after the “historic fall” in GDP of 17.9% in the second quarter of 2020 due to containment, there are now “eloquent” data that reveal a “clear recovery”. In this regard, he said, although the 16.4% upturn in GDP experienced in the third quarter of 2021 is “insufficient” to offset the fall in economic activity, the indicators for the fourth quarter confirm that the recovery “continues” despite the restrictions on mobility imposed by the Autonomous Communities.
The President of the Government also explained that talks with Brussels to finalise the design of the Recovery Plan are “very advanced”. The Plan, which will mobilise 140 billion euros of European funds between transfers and loans, includes up to 170 reforms that will enable “the modernisation of the productive structure and the growth of the Spanish economy” in the long term by more than an additional 2% of GDP, he added.
The meeting with the multinationals was also attended by the Third Vice-President and Minister for Economic Affairs and Digital Transformation, Nadia Calviño; the Fourth Vice-President and Minister for Ecological Transition and the Demographic Challenge, Teresa Ribera; and the Secretary General for Economic Affairs and G20 of the Presidency of the Government, Manuel de la Rocha. The delegation of the association Multinacionales Extranjeras por Marca España, made up of more than twenty companies, was led by its president, Beatriz Blasco Marzal.
