Spain's news in English

Editions:  Europe · Austria · Denmark · France · Germany · Italy · Norway · Spain · Sweden · Switzerland

Ratings agency warns of Spanish time bomb

Share this article

Ratings agency warns of Spanish time bomb
Spanish protestors carry a banner reading 'We don´t want pay Obama's debt'. Photo: Gaudencio Garcinuño
10:59 CET+01:00
The chief of credit ratings agency Standards & Poor's in Germany said on Sunday that Spain's social situation was potentially explosive.

The high jobless rate in Spain, Italy and France was volatile for the societies in those countries, said the top man for Standards & Poor's in Germany, Torsten Hinrichs.

Hinrichs told German newspaper Neue Osnabrucker Zeitung that he was generally positive about economic developments in the Eurozone in the second half of 2012.

He said, however, there needed to be social consensus for the austerity measures currently being imposed in countries such as Spain.

Hinrichs said he believed  high unemployment and a falling social status among the population wasn't helping matters at all.

The credit agency country boss also said that while people in Spain and Portugal had shown they could tolerate the current austerity measures, this situation "cannot continue forever".

Unemployment in Spain is currently running at 26.2 percent. In Italy, this is 11 percent and in France the jobless rate is running at 10.8 percent.

Get notified about breaking news on The Local

Share this article

The Local is not responsible for content posted by users.
Become a Member or sign-in to leave a comment.

From our sponsors

VIDEO: Three surprising facts that will make you want to visit Malta

Game of Thrones has ended but it lives on in Malta! Find out how and learn two more unexpected facts about this little archipelago in the middle of the Med.