Tuesday 4 March 2008

The final blow on the economy

Pedro Solbes, the Socialist Finance Minister met the business council in Madrid yesterday to explain the Socialist economic programme for the next four years. During the closing statements the President of the Council directly stated the Council's preference for PSOE to run the economy after the Sunday election. Diaz Ferran thanked Solbes for lowering the tax on businesses from 35 to 30% and said 'on March 10 we'll be knocking on your door to continue working together as we did these past four years'.

The statement was an important one to reassure investors and businesses that Zapatero and Solbes make the best team to deal with the current global credit crunch. However, the big surprise of the day came when Manuel Pizarro, PP's strongman on the economy, went to Onda Cero radio and accused Diaz Ferran of favouring PSOE because he was going to personally benefit from it and slagging off the entire business council.

I think after yesterday's debate, Zapatero got the big 'mo' for the last four days of the campaign. Rajoy and Pizarro are looking like dead men walking. Pizarro's accusations yesterday weren't just pure bitter rant, they actually show how when things don't go their way, PP leaders attack anyone on their way in the most intransigent of ways.

Moreover, the monthly consumer trust index (ICC-ICO) shows a greater trust on the economy by the electorate. Trust on the future of the economy has gone up 5.9%, current domestic situation (6%) and that of the country in general (5%). Seems PP's economic catastrophism message is deflating like a balloon.

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