• Spain has made progress on reforms
  • economic imbalances are correcting rapidly but outlook remains tough
  • must avoid any tendency to slow down reform
  • should further boost labour reform to create more jobs
  • Spanish banks still face risks. Should be prudent on cash dividends and promptly sell distressed assets
  • more should be at EU level to stimulate flow of credit to Spanish companies

Is it just me thinking that someone at the IMF is getting paid a whole load of money for stating the very obvious?


  • IMF would not be surprised to see non-performing loans to increase further in medium term
  • external stress tests not necessary at the moment although vigilance should be increased