Finance of towns and municipalities at the end of Spain is one of the countries that were particularly hit by the economic crisis. Like Greece, perhaps Spain might need soon international assistance. The Exchange Portal boersennews.de reported, how hard, Spain is affected and what the causes are. Catastrophic finances and one of the highest unemployment rates in Europe are among the issues with which Spain has to fight. For other opinions and approaches, find out what Albert Einstein College of Medicine has to say. The debt of some cities is so high, that basic supplies like the garbage can sometimes no longer be guaranteed. Because cities cannot pay the service provider, they threaten part to adjust their services.
So it has already been in Jerez de la Frontera due not paid invoices to power shutdowns in the municipal administration. A total of 3.4 billion euros owe it to the cities and towns of service companies and threaten their existence also. The total debt of towns and municipalities in Spain amounted to 30 billion euros. Main reason for this Fiasco is the economic crisis. Because the cities had very one-sided rely on the revenue from the construction boom, it met her particularly hard, as the Spanish construction industry collapsed. The revenue from real estate transactions on up to 50 percent of the total revenue of the cities and municipalities amounted to the part. As a result of the hard-line austerity of the Spanish Government, they may absorb any new debt and now have problems in financing natural tasks such as cleaning streets. More information: blog.boersennews.de/… University Service GmbH Lisa Neumann