The Latest Spanish Property News from Kyero.com

The Spanish economy is continuing to grow at an impressive rate, making it an increasingly attractive option for investment projects.

In the first quarter of 2006, the economy expanded by 3.5 per cent, which compares to a rate of two per cent for the economies of the 12 nations sharing the euro, reports Bloomberg.

The impressive growth means that the economy has now expanded at a rate of 3.5 per cent in each of the last three quarters, which again outperforms the EU average of 1.8 per cent during the same period.

Domestic demand is the driving force behind Spain’s economic performance, according to the National Statistics Institute (INE), growing by five per cent from the previous quarter. Spain is also beginning to drastically improve its employment figures, an area that has traditionally stunted economic expansion.

In the past year alone, around 575,000 new jobs were created in Spain, with employment growing at an enviable rate of 3.2 per cent.

Exports of goods and services also saw growth, with an increase of more than nine per cent in the first quarter from the same period in 2005. This compares to an annual gain of just 1.9 per cent in the fourth quarter.

Growth of 12.4 per cent for imports of goods and services is also encouraging and it compares to a revised increase of 6.6 per cent in the fourth quarter.

An area of particular interest for those interested in property investment is construction and it is worth noting that investment in building increased by two points to reveal a 5.8 per cent rise in the first quarter, reports Expatica.

Building levels would perhaps have risen in Spain even without foreign interest, but property investment in the country remains exceptionally popular both with those seeking capital gains and those more interested in owning a holiday home.

Story from Assetz news