Measured from the close of May 7 - the day Bankia’s president Rodrigo Rato announced his resignation - through noon of Thursday the 18, when its shares hit a low of €1.17, Bankia shed no less than 48 percent of its value. Adding to this the 40 percent lost since the July 2011 initial public offering through early May (this perfectly in line with the average euro zone bank over the period, by the way) and the hoards of retail depositors cajoled into parting with their savings in order to subscribe to the IPO by their local bank managers, we’re looking at just shy of a 70-point loss in a bit over eight months. It wasn’t intended to turn out that way. When Banco Financiero y de Ahorros (BFA) … [Read more...] about Bankia: A tale of confusion, conflict and unnecessary haggling
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Education strike highlights Spain’s teaching problem
Tuesday’s nationwide education strike included representatives from all levels of the sector, marking the first time such an action had been staged in Spain. The strike was propelled by the austerity measures affecting the sector. These include up to €3 billion cuts in spending, the addition of two hours to teachers' weekly classroom timetable and an increase in the pupil-classroom maximum ratio, currently at 25 in primary level and 30 in secondary. Early reports suggested a good level of support among teaching staff. However, while unions claimed an 80-percent turnout, as expected, government figures were decidedly lower. A more pressing question to ask about Tuesday's action, … [Read more...] about Education strike highlights Spain’s teaching problem
Spain’s “technically impossible” euro exit
Spanish Prime Minister Mariano Rajoy, his Economy Minister Luis de Guindos, and Finance Minister Cristóbal Montoro, have all been asked to respond to Nobel laureate Paul Krugman’s recent comments regarding what he called eurodämmerung: the end of the single currency. Unsurprisingly, they all repeated their commitment to the single currency, saying that Spain would not require a bailout, and that the spending cuts would continue. But like guilty men giving away what is really on their minds, all three went further, insisting that Spain would remain in the eurozone, and that a corralito was a “technical impossibility.” Corralito is a dreaded word in Spain, associated with the chaos that … [Read more...] about Spain’s “technically impossible” euro exit
‘Seis puntos sobre Emma’: Blind motivation?
Seis puntos sobre Emma tells the story of Emma, a blind woman of around 30 who is attempting to get pregnant, with Machiavellian calculation. Interviews with director Roberto Pérez Toledo (himself a wheelchair-user) reveal that one of the main aims behind his film was to offer a portrait of a blind person as a flawed human being rather than a victim. Perhaps it is because I have grown up with visually impaired people, but whenever I see a film purporting to offer this kind of insight into the life of someone with a disability my first reaction is: tell me something new. After all, films featuring portrayals of disabled characters as strong and capable individuals already exist, albeit … [Read more...] about ‘Seis puntos sobre Emma’: Blind motivation?
Bilbao celebrates 15 years of Guggenheim-inspired transformation
When Frank O. Gehry won a limited competition to design Bilbao’s new art museum in the early 1990s, the idea was to turn an old brick factory along a bend in the Nervión River into a cultural focal point for a city that had seen its traditional industries, such as shipbuilding and mining, virtually disappear by the late 20th century. Gehry had designed the Fish (1992) sculpture for Barcelona’s Port Olímpic, utilizing computer-aided design (his first use of CAD for a major project) to model its sweeping curves. In Bilbao, he would employ similar methods, resulting in what appear to be random organic forms (reminiscent of billowing sails) with the combination of seemingly incongruous … [Read more...] about Bilbao celebrates 15 years of Guggenheim-inspired transformation
And there was peace in Portugal
An average Portuguese citizen might make about €800 per month, has bought a house and is paying back the loan to the bank, leaves home each day at 7am and returns at 7pm. He has one child, whom he leaves at school all day. Take those €800 and let’s do some math. The mortgage will cost an average of €300, leaving €500 for food, transport and basic services. By the end of the month his bank account will just have small change left – if not a huge credit card hole. This data is accurate as of May 2012 and can be checked at Pordata, the private national database, run by the former Socialist Party agriculture minister from the seventies and eternal presidential candidate, the respected … [Read more...] about And there was peace in Portugal
Time for Spain’s ‘indignados’ to prove their relevance
As the 15-M movement, or indignados, prepare to commemorate their first anniversary, it says plenty about the state of Spain and its economy that much of the news coverage has focused on the possibility of clashes between demonstrators and police this weekend. With gatherings and marches scheduled across the country, from Saturday until the symbolic May 15 date itself, the scene is set for a huge turnout and another expression of anger and outrage at Spain’s political class and their handling of the economy. Many fear that this will spill over into violence, either on the part of the protesters, or the police. Violent confrontation was not something associated with los 15-M when they … [Read more...] about Time for Spain’s ‘indignados’ to prove their relevance
La Liga: Real Madrid’s away form is the stuff of champions
The last couple of weeks in the Spanish liga may have lost much of their tension after Real Madrid’s victory at Barcelona all but sealed the title race, but the season’s closing stages are still providing plenty of drama. When Madrid finally did secure the league title on Wednesday, the way they did so was utterly fitting. A 3-0 win at Athletic Bilbao’s feared San Mamés reflected the side’s superb away form this season, which has seen them drop only seven points outside the Bernabéu. And of course, Cristiano Ronaldo was on the score sheet, heading in from a corner in the 50th minute after Gonzalo Higuaín and Mesut Özil each scored in the first 20 minutes. Ronaldo has been unstoppable … [Read more...] about La Liga: Real Madrid’s away form is the stuff of champions
A victory for Hollande, a victory for Spain
François Hollande’s French presidential election win has been trumpeted as a triumph for Socialists across Europe. Not only does it stem the tide of centre-right governments that have taken control of most EU countries, it also vindicates the European left’s resistance to austerity at any cost. And the champagne was being uncorked on Sunday at the headquarters of the Spanish Socialist Party (PSOE), as its leaders enjoyed the thought that finally, their neighbour to the north has a left-leaning president. We don’t know whether Hollande will deliver on some of his bigger promises, such as reducing the retirement age or renegotiating fiscal targets with the EU. But the fact that one of the … [Read more...] about A victory for Hollande, a victory for Spain
Remember Gernika – but don’t forget Chaouen
The last few weeks have seen commemorations, mainly in the Basque Country, of the 75th anniversary of the bombing by German and Italian warplanes of the historic town of Gernika at the behest of General Francisco Franco during the Spanish Civil War. Around 4.30 in the afternoon of April 26, 1937, a joint squadron of 23 German and Italian planes appeared in the skies over the historic, and undefended, Basque town. Over the next five hours they dropped a total of 22 tons of high explosives and incendiary devices that burned for days, destroying 70 percent of the town, and killing and wounding at least 1,600 people, around a third of the population. Gernika remains a powerful symbol of … [Read more...] about Remember Gernika – but don’t forget Chaouen