"I view the political, economic and social situation in Spain with concern, but also with optimism", says Mariano Rajoy

Lower House, Madrid

In the Lower House of Parliament, Mariano Rajoy asserted that he positively assesses the progress of the Spanish economy, albeit "with caution, without self-complacency and with the determination to continuing working".

In response to the Socialist MP, Pedro Sánchez, the President of the Government said that "net employment is already being created in Spain", although he is aware that many Spanish people still cannot find a job. Furthermore, there are now more people in work and more National Insurance contributors than a year ago. "The recorded unemployment figures are now lower than when we came to power", he pointed out.

The social situation, in terms of exclusion and at risk of poverty, "are starting to pick up", according to the President of the Government, who also maintained that the government is tackling the most important political problems in the country with the appropriate "sensibleness, common sense and responsibility".

Catalonia, driving recovery

Among the most "buoyant" economic data, Mariano Rajoy highlighted that the Spanish economy has grown in the last four quarters and that this increase was the largest of all Eurozone countries in the last quarter. "Hence, we are on the right path, although a great effort is still required from us, but in order to give a fair opinion we must also take into account the state of things when we came to power", he stressed in response to the MP for CiU [Convergence and Union], Josep Sánchez i Llibre.

The President of the Government urged this latter party to announce that it will not call an illegal referendum, "and it will then be seen that there is no problem in any market". He added that, "Catalonia is one of the main drivers of the recovery of Spain as a whole", something he welcomed "because this is good for the people of Catalonia and indeed for the rest of Spain".

Wage rise above CPI

In response to a question from the MP for IU [United Left], Cayo Lara, on the effects of the labour reform on salaries, Mariano Rajoy pointed out that it is the social stakeholders who set salary remuneration in the private sector. In this regard, he recalled that the business organisations and trade unions agreed in 2012 to wage increases that were "moderate and in line with the economic situation" for that year and the following two years.

"I believe that this has been useful for avoiding the loss of many jobs in Spain, for ensuring that employment is now being created and for improving the competitiveness of the Spanish economy", he remarked. Furthermore, he stressed that the average wage rise for salaries in 2014 stands at 0.55%, while inflation is falling at a rate of 0.5%.

In terms of the labour reform, Mariano Rajoy commented that, according to the OECD, this has contributed to boosting hiring, particularly permanent employment contracts. "When the labour reform was approved, unemployment was growing in Spain at a rate of 12% per annum; but now that the labour market reform is taking hold, unemployment is falling by a rate of around 6% per annum", he explained.

Emilio Botín, ambassador of the Spain Brand

When asked in the corridors of the Lower House about the death of Emilio Botín, Chairman of Banco de Santander, Mariano Rajoy described the news as a "great blow", and expressed his condolences for the family. Emilio Botín has been a "fine ambassador for the Spain Brand", managing to establish the bank in a great many different countries, he declared.

On another note, the President of the Government praised the work of Ana Botella at the head of the City Council of Madrid, and remarked that he understood her decision not to stand at the upcoming municipal elections. Furthermore, he denied that this decision will in any way change the schedule for appointing PP candidates.