A bright future for the Andalucian economy

THE Andalucian economy will grow in 2015 and the construction sector will register an increase for the first time in almost a decade.

Unicaja bank said the regional gross domestic product (GDP) in Andalucia will grow by 2 per cent next year, which is consistent with the growth witnessed in the rest of the country, and that all sectors, excluding agriculture, will participate in the foreseen upturn.

Furthermore, the con-struction sector will increase for the first time since 2007 (+2.3 per cent year-over-year), said economic analysts.

The industrial sector is expected to grow by 3.5 per cent next year, but services – given their relative weight in the productive structure representing two thirds of GDP – will play the most influential role in its evolution (1.9 per cent).

The report’s co-ordinator Felisa Becerra said the slight drop foreseen in the agricultural sector – 0.1 per cent – should not be construed as a sign of weakness, because this sector has    its own cycles, which are not dependent on the economic situation but rather on weather conditions and crops.

As far as demand is concerned, private con-sumption will be the main driving force behind Andalucia’s GDP.

Economic analysts fore-see household expendi-tures will increase by 2 per cent next year, while public administrations will continue spending less (0.3 per cent).

Investment is also expected to increase by 3.4 per cent.

This overall improve-ment will be reflected in the labour market.

The number of people currently in employment in Andalucia is expected to increase by 1.1 per cent this year and job creation will reportedly register a 1.7 per cent increase in 2015, according to Unicaja.