Key View

• A deterioration in the trade balance will see Spain’s current account surplus to narrow to 0.7% of GDP in 2020, from 2.1% in 2019.
• At Fitch Solutions we expect the current account balance to widen only moderately in 2021, to 1.1% of GDP, with the tourism sector likely to remain a drag on the exports rebound as we assume some Covid-19

Key View

• We at Fitch Solutions expect deflationary pressures will persist in Spain over the coming months, with average inflation coming in at -0.5% in 2020 according to our forecasts, from an already low 0.8% in 2019.

• We forecast an only modest rebound in headline inflation in 2021, to 1.0%, largely the result of base effects, as we

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• As Spain battles with a significant increase in the number of Covid-19 cases, numerous autonomous communities across the country have implemented a ban on smoking in public areas in August 2020.
• This measure includes a ban on smoking in the street and in/around bars, cafes and restaurants, if a two-metre distance between people

Key View

• Targeted regional lockdown in Spain as new infection doubled post nationwide lockdown.
• ROVI’s facility in Madrid to manufacture Moderna’s Covid-19 vaccine candidate.
• 95% of Spain's population remains susceptible to Covid-19 virus.

Targeted regional lockdown in Spain as new infection doubled post lockdown. According to the most

Key View

• A private equity trio has submitted a bid to jointly take over MasMovil.
• If the offer is accepted, the operator will greatly benefit from a fresh cash injection.
• This development could trigger a consolidation wave in the Spanish telecoms market.

MasMovil has been at the forefront of telecoms deals in Spain over the past few years

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• Spain's construction sector remains largely dominated by domestic firms, many of which exhibit significant capacity and also maintain a strong international presence across numerous infrastructure markets.
• Financing from European Union (EU) institutions is key to the country's project pipeline, whilst numerous European banks are

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• Orange has launched its banking services in Spain.
• The move is risky, as the banking industry is highly competitive due to the presence of established retail banks and fintech disruptors.
• Despite having launched Orange Bank in France two years ago, the service remains unprofitable and its expansion into Spain is a further risk for

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• The Spanish Ministry of Health’s plan to increase the use of generic and biosimilar medicines will boost revenues for the manufacturers of these products.
• The plan falls within our outlook for increasing cost containment which is expected to drive strong growth in Spain’s generic medicine market.
• Stakeholders continue to express a