Foreign Direct Investment:: Country Risk Assessment of Spain

5765 Words24 Pages
Table of Contents


A. Introduction 3
B. Political Indicators 4-11

C. Economic Indicators 12-18

D. Social Indicators 19-23

E. Overall County Total 24

F. Works Cited 25

A. Introcution Spain 's powerful world empire of the 16th and 17th centuries ultimately yielded command of the seas to England. Subsequent failure to embrace the mercantile and industrial revolutions caused the country to fall behind Britain, France, and Germany in economic and political power. Spain remained neutral in World Wars I and II, but suffered through a devastating Civil War (1936-39). In the second half of the 20th century, it has played a catch-up role in the western
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3. Views of Political Leaders Current Rating: 2 Forecast 5 Years: 3
Jose Maria Anzar is Spain 's Prime Minister since 1996. He is part of the conservative People 's Party. Since taking power, there wre many fears that government policies would become more strict and secular-minded with Catholic traditionalism. Mr. Aznar has been straight, efficient, clear-headed, honest. Building on foundations laid by his modernising Socialist predecessor, Felipe Gonzalez, he has steadily freed Spain 's economy and overseen one of the fastest growth rates in the EU. In Europe, his Spain is taken seriously; Mr. Aznar makes much of its new ascendancy in Latin America, where it has overtaken the United States as the biggest investor. Mr. Aznar says Spain deserves to join the G8 group of rich countries. One of his biggest downfalls though is his handlings with the Basque community and popular rise. A big reason is that even the non-violent Basques are a tricky lot, while the terrorists of ETA are militarily hard to beat because they have enough popular support. Mr. Aznar has himself been obtuse, by unwisely alienating the majority of Basques who do not back ETA. In order for the Basque to be truly independent, Spain 's constitution would have to be ammended, the constitution that the Basque favored when voted. The Basque claim it was a minority that voted in 1978. In any case, as an economist, Jose
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