Spain

Spain in Worse Than Expected Economic Situation

All aid made available in June will be used

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Spain's economy performed worse in 2011 and 2010 than previously reported, the National Statistics Institute said on Monday as the country struggles to shake off the recession and avoid a sovereign bailout.

Newly released data shows GDP grew a modest 0.4% in 2011 instead of 0.7 % as exports and consumer demand were weaker than earlier estimated. In 2010 the economy contracted by 0.3% instead of 0.1%. Estimates of an economic slowdown of 3.7% in 2009 and 0.9% in 2008 remain unchanged. The government expects the economy to shrink further over the rest of the year and the next.