Luis M Linde: The European and Spanish economic situation

Address by Mr Luis M Linde, Governor of the Bank of Spain, to the Club Siglo XXI, Madrid, 22 January 2018.

The views expressed in this speech are those of the speaker and not the view of the BIS.

Introduction

Let me begin by thanking the Chairman of the Club Siglo XXI, and my good friend, Chencho Arias, and the management of the Club for their kind invitation to me to join you today. Over the years this Club has seen debate on all - or practically all - matters, and naturally on economics too, which will be our subject today. My address will focus on the European and Spanish economic situation.

Situation of the European economy

With a decade now having elapsed since the international financial crisis began, we can say that the euro area is finally in a phase of sound and vigorous economic expansion. GDP growth is expected to have posted a growth rate of around 2.5% in 2017, a figure not seen since the early years of the monetary union. The favourable economic situation extends, moreover, to all corners of the area, including the economy that has undergone the greatest difficulties, namely Greece. It is expected that in the coming months Greece may successfully conclude its third financial assistance programme.