2023-06-26 08:00:25
In its June macroeconomic report, the rating agency Fitch Ratings has revised its growth forecasts for the Spanish economy in 2023 by seven tenths upwards, to 1.9%, but has cut its estimates for 2024 by two tenths, to 1. 6%
Fitch highlights that, although consumption fell during the first quarter of 2023, economic activity continued to grow thanks to the boost in exports and tourism. On his side, Fitch highlights that inflation in Spain has fallen “much faster” than in other large economies in the euro zone.
However, the ‘rating’ agency warns that “the impact of the tightening of financial conditions will weigh more and more on the financial perspectives”.
In this sense, Spanish families have increased their mortgage prepayments. In the March document, Fitch It has already been advanced that Spain was among the countries vulnerable to interest rate rises due to the large number of mortgages subject to variable rates.
Afterwards, the world economy will grow this year by 2.4%, four tenths more than estimated three months ago, according to Fitch, thanks to the fact that emerging markets except China will see their growth rise by 2.9%. GDP in 2023, nine tenths more, mainly due to the good performance of Brazil, India, Mexico and Russia.
However, Fitch predicts a rise of 2.1% in 2024, three tenths less, due to the delayed impact of interest rate increases on the economy and the ‘base effect’ in GDP growth in emerging countries.
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