Spain's 2023 growth seen at 1.6%, above previous cenbank estimate

Kitco Media
By Reuters
Published:
Updated:
Reuters
MADRID, Feb 14 (Reuters) - Spain's economy is likely to grow around 1.6% in 2023, 0.3 percentage points more than previously estimated, mostly due to a stronger-than-expected expansion last year, Bank of Spain chief economist Angel Gavilan said on Tuesday. Gross domestic product grew a faster-than-expected 5.5% in 2022 as the country avoided a recession in the final quarter amid a global slowdown. The Spanish statistics institute has revised significantly upwards the initial growth estimates for the first two quarters of last year, while the economy grew 0.2% in the fourth quarter from the previous quarter, above 0.1% expected by the central bank. "Mechanically, this new information would prompt an upward revision in the GDP growth rate in 2023 by about 0.3 percentage points," Gavilan said in a presentation posted on the Bank of Spain's web page. On Monday, the European Commission revised its growth projections for Spain to 1.4% for 2023 from 1%. For the first quarter of 2023, Gavilan also sees a higher-than-expected growth rate at least similar to the fourth quarter of last year. The Bank of Spain is expected to publish its latest official forecasts in March. Gavilan also hinted at a 0.15 percentage points downward revision of its inflation projections for 2023. Its current outlook for EU-harmonised inflation stands at 4.9%. (Reporting by Jesús Aguado; Additional reporting by Emma Pinedo; Editing by Mike Harrison)

Messaging: Reuters Messaging: jesus.aguado.reuters.com@reuters.net))
Disclaimer: The views expressed in this article are those of the author and may not reflect those of Kitco Metals Inc. The author has made every effort to ensure accuracy of information provided; however, neither Kitco Metals Inc. nor the author can guarantee such accuracy. This article is strictly for informational purposes only. It is not a solicitation to make any exchange in commodities, securities or other financial instruments. Kitco Metals Inc. and the author of this article do not accept culpability for losses and/ or damages arising from the use of this publication.