IMF warns of uncertainty in the Spanish economy

The International Monetary Fund (IMF) warns about the uncertainty and the “highly uncertain” future of the Spanish economy due to the development of the Covid-19 pandemic, although it positively values ​​the labor reform recently approved by the Spanish government. This was explained in an analysis on “Spain and the economic future that awaits after the pandemic” released on February 16.

In the report, the international organization also urges the Spanish government to make “efficient and transparent” use of the economic resources that the European Union plans to grant them to face the crisis caused by the pandemic and promote economic reactivation in the area.

On the other hand, the IMF celebrates “the exhaustive agenda of reforms and investments” that Spain has committed to developing, highlighting the “exceptional opportunity” to make investments and stimulate production that will make it possible to have an economy that is “more productive, inclusive, green and digital“. But insists on “the importance of establishing a reference framework that ensures a transparent and efficient use of funds.”

The IMF approves labor reform

The Spanish government recently approved a labor reform, which is valued as positive by IMF representatives. The managers and directors of the organization see this positive and consider that the objective is to “address the deficiencies” of previous years, as well as try to balance the “protection of workers and preserve flexibility for companies”.

They highlight the “high level of responsibility” obtained from an extensive dialogue where the different social agents involved in the work process participated. The institution recommends monitoring the impacts that the reform may produce in the different areas and sectors of the economy, as well as in public finances and they think it is significant “to make indefinite contracts more attractive to companies.”

M. Rodríguez

Source: 20minutos