Spanish newspaper warns of the collapse of the Spanish economy due to the outbreak of the Corona virus

Madrid-SANA

The Spanish newspaper Al-Alam warned of a "historic collapse" in Spain's gross domestic product and a massive increase in public spending due to the Corona virus, noting that this would lead to a budget deficit this year estimated at 100 billion euros.

The newspaper quoted Maria Fernandez, an economist, as saying today: "With the passage of home quarantine weeks as a result of the state of emergency declared by the government, returning to normal life will be more complicated and this will require a lot of efforts because it is possible to reach a deficit of 100 billion euros this year." Note that the budget was closed last year with a deficit of 33 billion euros.

She pointed out that the extension of the state of emergency and domestic stone, in addition to the failure of the Spanish government in its policies and goals, and being fully aware of the state of the collapse of the economy will make the situation worse and said that the new deficit will not be less than 7 percent of GDP, which will represent about 85 billion euros.

In the same context, the American bank "Bank of America" ​​expected that there will be a slowdown in Spanish economic growth of 8.8 percent, which will give a figure close to 100 billion euros, while Goldman Sachs Group, one of the largest groups of banks, investment banks and securities in the world, expected a deficit of 10 Percent of GDP, and thus about 120 billion euros, in addition to an economic collapse of 9.7 percent.