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Spain’s PM reshuffles cabinet amid economic crisis

Published: 07/04/2009 05:00

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Spanish Prime Minister Jose Luis Rodriguez Zapatero announced Tuesday changes in the ministerial cabinet in an effort to tackle the ongoing global financial crisis.

Spanish Prime Minister Jose Luis Rodriguez Zapatero announced Tuesday changes in the ministerial cabinet in an effort to tackle the ongoing global financial crisis.(Xinhua/AFP Photo)

“Political developments and the economic situation demand a change of rhythm to confront the future with new drive and greater strength,” Zapatero told a news conference.

“The fight against the economic crisis is our top priority…(and) this government team has been chosen in order to overcome the crisis and forge a new economic model,” said Zapatero.

In the most important change, Public Administration Minister Elena Slagado, a 59-year-old industrial engineer who also has an economics degree, will take charge of the Economy Ministry to replace Pedro Solbes.

Zapatero said Slagado is the appropriate person for the post, noting she will demonstrate her “extraordinary management ability.”

Solbes, 66, was regarded as the voice of economic orthodoxy in the government and had openly voiced his disagreement with Zapatero on the country’s budgetary restraint as the financial crisis unfolded.

Last month, Zapatero said in an interview that Spain needs additional government spending as a measure to boost consumption confidence and job opportunities for reviving economy. The next day, Solbes said there was no room for further spending of this kind.

Solbes had also made clear his desire for retirement, and his departure had been expected for months.

Zapatero’s Socialist Party has witnessed a decline in public support in recent months as the country’s economy has been particularly hit hard by international financial crisis.

With an unemployment rate at 15.5 percent, the highest in the 27-member European Union and almost twice the 7.9 percent rate for the bloc’s average level, the Spanish economy is estimated to shrink 3 percent this year amid the world economic downturn.

The Bank of Spain predicted Friday that the unemployment rate will reach 19.4 percent next year as the recession deepens.

The ruling party, re-elected to a second term with a slightly bigger majority in parliament in the March 2008 general elections, lost control of the Galicia regional government to the opposition Popular Party in March 1 elections this year.

And a poll published by daily Publico Sunday showed that if national elections were held now, the Popular Party would win the race with 40.7 percent of the votes, while the ruling party would net only 39.2 percent.

OTHER CABINET CHANGES

Former under general secretary of the Spanish Socialist Workers’ Party Jose Blanco was appointed new development minister to replace Magdalena Alvarez.

Manuel Chaves, governor of Andalucia region, will be third vice president in charge of territorial policies.

The new Education Minister will be Angel Gabilondo who will be also in charge of the universities, which before were under the Science and Innovations Ministry.

Former Interior Minister for Ibero-America, Trinidad Jimenez, will be minister of health and social policies to replace Benrat Soria.

The new culture minister will be Angeles Gonzalez-Sinde in replacement of Cesar Antonio Molina.

Zapatero agreed in November last year to create a Sports Ministry. Before it was officially established, Jaime Lissavetzky, as interior minister, will be in charge of sports.

The new cabinet kept the parity of nine women and nine men including Zapatero.

VietNamNet/Xinhuanet

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