Spain recorded a deficit of 8.51% of GDP in 2011. It is much more than the official target of 6% but in line with forecasts of the new Conservative government, said Monday the budget minister, Cristobal Montoro.
To fight against the deficit, the government has already announced a series of measures: budget cuts of 8.9 billion euros, higher taxes for 6.3 billion and an anti-evasion plan which he hopes to recover nearly 8.2 billion.
The four components of the deficit, it is the 17 regions which have most deviated forecasts: their deficit amounted to 2.94% of GDP against a target of 1.3%, while the central government has closed with a deficit 5.1% of GDP against 4.8% expected. Local end 2011 in line with forecasts, to - 0.38% of GDP, and social security with a small deficit (0.09%) against the projected surplus (+ 0.4%).
"The Government is committed to achieving fiscal stability. We need to restore growth and job creation, and not because we are dictated from outside," said Mr. Montoro at a press conference. The previous Socialist government had set a target of fiscal deficit to 6% of GDP in 2011, after 9.3% in 2010. But once he took office in late December, the Conservative government of warned that the target for 2011 should be revised upwards and that the deficit would exceed 8% of GDP