Jan 26 (Reuters) – Spain’s unemployment rate unexpectedly fell in the fourth quarter, ending the year at its lowest level since 2007, official figures ahead of next week’s release of economic growth data showed.
The National Bureau of Statistics announced on Friday that the unemployment rate in the fourth quarter was 11.76%, down from 11.84% in the third quarter and 12.87% in the same period last year.
Economists polled by Reuters had expected the interest rate to rise to 11.90%, and the country’s central bank had expected it to rise to 12.1%.
“The 2023 job market data demonstrate the strength and resilience of the Spanish economy,” Economy Minister Carlos Cuerpo said in response to the INE report.
Spain’s GDP statistics for the fourth quarter are expected to be released next Tuesday.
Over the past few quarters, Spain has recorded higher GDP growth than other large European countries. The government expects the growth rate to be steady at 2.4% in 2023.
According to INE, the number of unemployed people decreased to 2.83 million, and 783,000 new jobs were added in 2023. Employment rose in most industries in the fourth quarter, but fell in services as tourism traditionally employs fewer workers in the winter.
The unemployment rate has steadily declined from a peak of 16.26% in the third quarter of 2020 during the pandemic. (Reporting by Matteo Allievi; Editing by Inti Landauro and Christina Fincher)