To his supporters he’s calm, considered, strategic and resilient. But to his critics – whose ranks have swelled this year – Spain’s prime minister is hesitant, rigid, poorly advised and uncharismatic. Whatever your view, few will argue that even his previous experience as a government minister and eight years in opposition can have prepared Mariano Rajoy adequately for the torrid 12 months he has just had. Having made few electoral promises other than to fix the economy, his fortunes were always going to mirror those of the country’s credit risk premium and its jobless queue. Both hit dangerously high levels in 2012, belying Rajoy’s apparent belief on taking office that a change of … [Read more...] about Mariano Rajoy
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Spain’s true crisis isn’t economic, it’s institutional
As Spain has moved closer to what looks increasingly like economic disaster, there have been a couple of surprising - even heartening - moves by the country’s senior politicians lately. One was the announcement made by Socialist leader Alfredo Pérez Rubalcaba that his party offered its full support to the conservative government going into the key European summit in Brussels on June 28. This rare instance of political unity was accompanied by an unusual show of stark public honesty by Prime Minister Mariano Rajoy. “We can’t finance ourselves at these levels of interest much longer,” said the man who had denied that Spain would request a bank bailout days before it did so, and who said he … [Read more...] about Spain’s true crisis isn’t economic, it’s institutional
Profile: Esperanza Aguirre, Spain’s very own iron lady
Never one to miss the chance of a headline, last week Esperanza Aguirre, the Popular Party’s head of the regional government of Madrid, aroused the ire of Catalans and Basques when she called for the Copa del Rey soccer final to be played behind closed doors, “somewhere else”, rather than in the Spanish capital. Why? The likelihood of whistling and booing by fans of the two sides, Barcelona and Athletic Bilbao, during the playing of the Spanish national anthem, as happened when the two sides faced each other three years ago in the final, in Valencia. In the event, Aguirre took a rain check on the match, leaving Prince Felipe to stand stoically through the national anthem amid the catcalls … [Read more...] about Profile: Esperanza Aguirre, Spain’s very own iron lady
Catalonia’s immigrants face lonely road ahead
Sitting across the table from Xavier Alonso Calderón, Catalonia’s head of Immigration and Labour Relations, it was hard not to feel for everyone within a hundred paces of his office. In one of many sweeping cuts to government spending since coming into office late last year, the Partido Popular-led national government had slashed Spain’s immigration and integration fund to nearly nothing. Established under the Zapatero government in 2005, the fund had set aside up to €200 million to be distributed to Spain’s autonomous communities to help finance programs aimed at reporting, educating and integrating the country’s foreign-born population – a group that had exploded over the past decade, … [Read more...] about Catalonia’s immigrants face lonely road ahead
Rajoy’s smoke and mirrors have worked – for now, at least
If we have learnt anything about Spain’s new prime minister, Mariano Rajoy, since he took power in December, it’s that his reputation for being anything but straightforward when conveying his intentions is well deserved. Rajoy has often been portrayed as the embodiment of retranca, a tendency his fellow Galicians are known for to answer questions with ambiguity and multiple meanings. The first two months of his tenure have seen Rajoy behave every bit like the stereotypical Galician. An early example of this was when the prime minister deployed his front-line ministers to announce a major tax increase, just days after himself announcing that “my intention is not to raise taxes.” And now … [Read more...] about Rajoy’s smoke and mirrors have worked – for now, at least
The Spanish economy’s sustainability dilemma
"Environmental sustainability cannot be understood today without taking into account the economic factor. Only when environmental policy is economically viable can it be sustainable over time. Economic viability and environmental sustainability will be, therefore, the two aims of the policy that this ministry will pursue.” This sentiment, voiced by Environment and Agriculture Minister Miguel Arias Cañete recently, sounds sensible enough. But the full content of his speech, addressed to a congressional committee and outlining his intentions for this legislature, has stirred some deep fears among environmentalists. It has also brought the sustainability-versus-growth debate into the … [Read more...] about The Spanish economy’s sustainability dilemma
Rajoy, reform and the burden of employment expectations
As thousands took to the streets at the weekend, it quickly became clear that the Partido Popular’s approach to job creation had more than a few critics. Focusing their anger on reforms passed on February 9, critics called out the new government’s efforts to reduce mandatory severance pay from 45 to 33 days per year worked and allowing what they felt was an unfair freedom for companies to opt out of collective bargaining agreements and adjust wages and hours according to their financial standing. The Rajoy government insisted that it “wants to give firms the ability to modify workers' hours in response to demand rather than simply laying them off, bringing an end to the rapid rise in … [Read more...] about Rajoy, reform and the burden of employment expectations
Back to the future with Rubalcaba
Unity, strength and change were the basis of Alfredo Pérez Rubalcaba’s rallying cry on winning the Spanish Socialist Party primary by the slimmest of margins on Saturday. But unity currently looks a tall order for the party, given that its 900 or so delegates were divided almost exactly down the middle in choosing Rubalcaba over Carme Chacón. And it can hardly daw on much strength, either, following its record losses in local and general elections in 2011. Rubalcaba himself was the candidate who suffered the general election loss, the Socialists’ worst in the democratic era, and it is now he who has been chosen to pick up the pieces and redefine the party. So change it is. What that … [Read more...] about Back to the future with Rubalcaba
Fraga: a unique figure during an extraordinary time
The last time the conservative Partido Popular (PP) was governing Spain, the satirical television show Los Guiñoles was still being broadcast, with its latex puppets lampooning the country’s public figures. One of its most memorable targets was Manuel Fraga, even then a decidedly long-in-the-tooth politician, who on at least one occasion was portrayed as a dinosaur, complete with scaly tail and brontosaurus-style limbs. This image was fuelled by the fact that Fraga was still, in his eighties, the premier of Galicia, a position he held between 1990 and 2005. Also, perhaps most famously, he had been a minister under Franco. But it’s clear that there was more to Fraga, who died on Sunday … [Read more...] about Fraga: a unique figure during an extraordinary time
Read my lips: Why did Rajoy break one of his few campaign promises?
“My intention is not to raise taxes.” It’s a line that Mariano Rajoy’s critics will repeat back at him for years to come. Much like George H. W. Bush’s infamous “Read my lips: no new taxes”, Rajoy’s pledge, made on December 19, during the debate ahead of his investiture as Spain’s new prime minister, has proved to be empty. Unlike Bush, Rajoy has not resisted or dragged his feet in performing a spectacular U-turn on this issue. Eleven days after saying he wouldn’t raise taxes, his deputy prime minister, Soraya Sáenz de Santamaría, announced tax increases that will bring in an extra €6 billion this year. As Spaniards digest the implications of the new Popular Party government’s … [Read more...] about Read my lips: Why did Rajoy break one of his few campaign promises?