Spanish PM sees 'serious difficulties' for economy, no recession

MADRID (AFP) - Prime Minister Jose Luis Rodriguez Zapatero said Wednesday that the Spanish economy was facing "serious difficulties" but ruled out a recession as he outlined measures to spur growth. "The Spanish economy is going through a period of serious difficulties but I have to stress that it has never faced a period like this before from such a good starting point," he told parliament. He said the property sector was going through a "faster and more intense adjustment than we predicted," but while growth would be weak over the coming months, Spain will not face "durable stagnation or much less, a recession." Zapatero, whose Socialist Party was re-elected in March, was speaking in parliament after opposition parties pressured him to make a statement about the worsening economy. In the run-up to the election, the prime... [read full story]