What is happening in the Eurozone?  Greece is in crisis and is being bailed out by other EU countries who have the single currency. There are economic problems too in Portugal and Italy, but perhaps the most vulnerable country economically in Europe is Spain.

With unemployment at 20%, double the Eurozone average, crisis is on our very doorstep.  Youth unemployment in Spain is even worse – at a staggering 40%, according to figures announced yesterday.  Where will it all end?

Spain’s construction and tourism industries have suffered massively over the last two years.  Growth in these has been hampered by the spate of demolitions of “illegal” properties and widespread corruption scandals involving local politicians, lawyers, builders and estate agents.  The six-day shutdown of European airspace caused by the Icelandic volcanic ash cloud, has hampered recovery in the tourism sector.  The dreadful winter has wreaked havoc not just on tourism but also on the infrastructure, although perversely this has provided plenty of work for builders.

* The PIGS of the title? Portugal, Italy, Greece and Spain – the four Eurozone countries in the deepest trouble.

©  Paul Whitelock