The Spanish government is revising higher its forecast for economic growth this year, to 2.7 percent from 2.3 percent previously.
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Economy Minister Roman Escolano says the upgrade is due to an improving international economic climate, an upturn in business investment, and a return to stability in the restive region of Catalonia, where the central government has taken administrative control.
Spain's economy, the fourth-largest in the 19-country eurozone, has in recent years posted some of the fastest economic growth in Europe. Last year it reached 3.1 percent.
The new forecasts published Tuesday include a jump in expected domestic demand, up 2.3 percent compared with an earlier forecast of 1.8 percent. The budget deficit is predicted at 2.3 percent of GDP.