Newsbrief: The Canary Islands economy closed the 2016 financial year with an acceptable deficit
The Canary Islands closed the 2016 financial year with a deficit of €140 million, 0.33% of GDP, the lowest of all autonomous regions in Spain and 0.4% below the ceiling established for autonomous communities.
According to the recently published national accounting data, the Canary Islands economy grew 3.5% in terms of GDP during 2016, the third highest regional growth in the country and 0.3% above the Spanish state average, which grew by 3.2%, according to the Spanish National Institute of Statistics (INE).
The deficit figure at the end of the year means that the Autonomous Community of the Canary Islands has complied for the fifth consecutive year with Madrid fiscal policy, exercising rigor in the control and management of public accounts and the early closure of the budget, a decision that was taken last September in compliance with the Law on Budgetary Stability so as not to endanger essential public services.
Meeting the deficit means various important advantages for the Canary Islands, such as access to the Financial Facility Fund, an extraordinary mechanism of financing, on advantageous terms, established by the Spanish State and reserved for autonomous communities that meet the objectives of budgetary stability .