Spain’s GDP per capita outperforms Italy’s one

Spain’s GDP per capita outperforms Italy’s one

In 2017, Spanish GDP per capita at purchasing power parity managed to surpass Italy’s one for the first time since 1998, as follows from a report issued by the International Monetary Fund. According to IMF forecasts, for five years the Spanish indicator will account for 7%, which is higher than Italian, although ten years ago Italy was ahead by 10%. Moreover, the fund experts predict that by 2023 in this regard Italy will be beaten by such countries as Slovakia and the Czech Republic.

Economic surge in Spain is on a more positive and convincing trajectory than in Italy since 2011, so it’s quite natural, as some market experts pointed out.

Stagnation in the Italian economy has become one of the key reasons for political contradictions, as Italians lose faith in the ability of traditional parties to return the country to growth and provide the population with jobs, writes the Financial Times. Therefore, the popularity of populist and opposing political forces is increasing.

Italy's huge public debt, in relation to GDP second only to Greece, is considered to be one of the main risks for the euro zone in general. As some market experts point out, this situation will continue if the Italian authorities don’t get down to structural reforms.

At the same time, Spain has been increasing GDP faster since 2015 than Germany, France and the United Kingdom, although the Spanish economy is still just 2% higher than in 2007.

According to experts, Spain has a number of structural advantages over Italy, including the younger population. However, the country also more effectively invested in public funds, especially in infrastructure, and demonstrated greater openness to innovation and foreign investment.

In the late 1990s, Italy, the eurozone's number three economy, managed to outperform Spain in terms of GDP twice, and currently - by 50%. Compared to 2000, the Italian economy increased only slightly, while the main eurozone countries surged by 25%, and Spain came up with a 35% leap.

Similar

The Spike is Almost There
The Spike is Almost There

China delays GDP data because of potentially harmful numbers, but we will never delay our news because every release is an opportunity to trade on it! Here’s what will move markets today:

The Worst Day for Bears Ever
The Worst Day for Bears Ever

Bloomberg says yesterday’s movement was so far the wildest. It was the first time in history for the US500 to crash by 2% and close the day 2.8% above the neutral line. There’re several possible reasons for the move.

FED and BOE Make Another Attempt to Beat Inflation
FED and BOE Make Another Attempt to Beat Inflation

The Federal Reserve (Fed) will announce its Interest Rate Decision and make a statement about the future monetary policy on Wednesday, September 21, GMT+3. After the higher-than-expected inflation numbers published on September 13, there’s almost no doubt the Federal Reserve will come up with another 75-basis-point rate hike. However, surprised by the CPI numbers, several Fed members announced the possibility of a 100-basis-point rate hike on Wednesday.

Latest news

US Dollar Index at a 3-month Low
US Dollar Index at a 3-month Low

The USD weakened after Fed Chair Powell hinted at a slowdown of rate hikes, and stocks strengthened. What else is moving the markets today?

Soon Bullish Rally for Gold
Soon Bullish Rally for Gold

The winter is coming, and risky markets expect a rally to come with it. Will this December be bullish for stocks, crypto, and gold? A pack of news will surely help you out.

Deposit with your local payment systems

Feel the Team Spirit

Data collection notice

FBS maintains a record of your data to run this website. By pressing the “Accept” button, you agree to our Privacy policy.

Callback

A manager will call you shortly.

Change number

Your request is accepted.

A manager will call you shortly.

Next callback request for this phone number
will be available in

If you have an urgent issue please contact us via
Live chat

Internal error. Please try again later

Don’t waste your time – keep track of how NFP affects the US dollar and profit!

Beginner Forex book

Beginner Forex book will guide you through the world of trading.

Beginner Forex book

The most important things to start trading
Enter your e-mail, and we will send you a free Beginner Forex book

Thank you!

We've emailed a special link to your e-mail.
Click the link to confirm your address and get Beginner Forex book for free.

You are using an older version of your browser.

Update it to the latest version or try another one for a safer, more comfortable and productive trading experience.

Safari Chrome Firefox Opera