Janet

I’ve been looking for a silver lining to this cloud, but it’s very difficult to see one. The Canarian economy, although falling more slowly in the third quarter of this year, has now entered into technical deflation at a rate of -2.2%, and the Chamber of Commerce in Santa Cruz warned that it could start to fall again between now and the end of the year. Unemployment too, though stable at the moment, could rise again to reach around 28%.

The stark assessment was given by the General Director of the Chamber of Commerce in Santa Cruz, Vicente Dorta, who pointed out that the Canaries were out of step with the economic situation in the rest of the country, and that there was still a great deal of insecurity in Canarian businesses about the prospects for survival in 2010.

During Sr Dorta’s presentation of the report into the current economic situation, Cajasiete’s Economic Studies, Lola Pérez, stressed the extremely worrying effects of the islands’ touristic crisis, which has not only seen fewer visitors, but also an alarming 20% reduction in tourist spending compared with 2008, far below the 8% reduction in such expenditure seen nationally. JAA

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www.janetanscombe.com

pelinor

Yep It's grim and will get a lot worse. Spain and more importantly the Canaries must get their heads out of the sand.

Brother in law, not been paid for two months.
Sister in law, not been paid for two months.
Two cousins, not been paid this month.
One cousin, up sticks and left the island for the peninsular.
Cousin, only on 1 month at a time contracts.
Cousin, wife unemployed.
Two cousins unemployed.


Close family friends
One. Husband not been paid for 7 months, wife made redundant.
Two. Husband, wife, eldest male and wife unemployed for over ten months.
Three. Husband of friend under threat of redundancy and their son unemployed.

These are people close to us I could go on! And non of these people are what you might call wasters.