The economic slowdown will continue in 2002 and be led by areas most dependent on manufacturing, such as the Basque region, and on tourism, such as the Canary Islands and the Balearics, the Spanish Chambers of Commerce said. Growth in the Basque region, home to plastics and paper makers, will slow to 2.2 percent from 2.6 percent this year, the organization, grouping several commerce associations, said, citing a study by university economists. Growth will decline to 2.2 percent from 2.9 percent in the Canary Islands, as fewer British and German tourists visit the islands and an economic slow down in the Balearics is also forecast. The global economic slowdown is affecting Spanish manufacturers more than farmers, as the pace of growth declines to between 2.3 percent and 2.5 percent for all of Spain, from an expected 2.8 percent this year, the study said. The Spanish government expects the country's economy to grow 3 percent in 2001. Expansion next year may remain above Europe's average, partly because of buoyant growth in agricultural regions such as Extremadura and Castilla & Leon. The latter will be the only region that posts an increase in 2002, the association said.

Comments

To be able to write a comment, you have to be registered and be logged in.

* Mandatory fields

Currently there are no comments.