Today I’d like to revisit the ongoing economic crisis in Spain. The downturn, with roots in the Great Recession and the country’s housing bubble bursting and subsequent credit problems, is dragging on.
My sources in Spain emphasized a few recent developments:
- In May, Spain nationalised Bankia, a bank badly hurt by the bursting of the property crash bubble. Bankia held ten percent of Spain’s bank deposits, and the nationalisation (read as: rescue) will cost the state 19 billion euros.
- By June, Spain had been effectively shut out of the bond market due the its skyrocketing borrowing costs. Spain needs to refinance nearly 100 billion euros in debt this year alone, including helping pay off state-level maturing debts of around 16 billion euros.
- Also in June, Eurozone finance ministers agreed to lend Madrid up to 100 billion euros (sound familiar?) to make its banks more viable.
Here’s to hoping I’m wrong, and my sources are wrong, but there is no end in sight for the economic problems plaguing Spain currently, chief among them a high unemployment rate. The banking sector is a mess and will remain so, and the austerity measures that Madrid has been forced to embrace will mean a long, drawn-out recession.
My friends in Madrid have moved their money to safer waters, and if you have investments in Spain (or elsewhere in Europe for that matter), you might want to explore doing the same.
Belize offshore options include legal, confidential, legitimate options such as international business companies (IBCs), limited liability companies, offshore bank accounts, offshore trusts, and offshore foundations. You do not need fabulous wealth to take advantage of these legal mechanisms for moving your money in Belize. If you’re a modest retiree in Spain, for instance, or a soon-to-be pensioner in Italy, for example, you can take advantage of a welcoming, tax-free environment by opening a Belize international business company for a few hundred dollars U.S.
Belize is one of the best countries for tax-free offshore companies, and Wrobel & Co. invites you to contact us today to why.
