Spain Steps Up Fiscal Consolidation | Spanish Property News

Spain Steps Up Fiscal Consolidation Spanish Property News: "Spain has raised tobacco tax, reduced windpower subsidies and brought forward pension reform in the latest measures to reduce the budget deficit and convince financial markets it has embarked on fundamental economic improvements.
Prices of sovereign bonds issued by Spain, Portugal and other “peripheral” eurozone economies fell sharply early in the week amid fears of debt defaults following the rescues of Ireland and Greece. But they recovered after the European Central Bank made large-scale bond purchases on Thursday.
Spain has sought to restore confidence in its solvency with a steady stream of announcements regarded as positive by investors, and has said it is on track to cut the budget deficit from 11.1 per cent of gross domestic product in 2009 to 9.3 per cent this year and 6 per cent in 2011."