The Bank of Spain reported Wednesday that it’s economy has fallen 1.8% in the first trimester of 2009 and 2.9% over the last year. Spain hasn’t seen this steep of a decline in their economy since the 1970’s according to Spain‘s National Institute of Statistics.
Multiple factors are to blame for the deepening recession including the collapse of the housing market, growing unemployment which is at 17.36%, and a decline in exports which fell 22.1% in the first few months of 2009 due to the international economic crisis.