According to the statement released by the governor of the Bank of Spain, the high jobless rate would remain as a important matter though Spain seems to be recovering from the economic crisis.

Moreover, the country has more than 4 million unemployed people, accounting for around 20% of the total personnel.

While talking to press media, Governor Miguel Angel Fernandez Ordonez said, “The high unemployment rate as the main risk that hangs over Spanish credit institutions.”

Further, Ordonez said, “We face the threats of more unpaid debts, less business, greater public debts and more expensive financing.”

In the meantime, the federal government has introduced proposals to tackle the problems, such as reducing the compensation for losing a permanent position from 45 days salary per year spent in the job, to 33 days.

He said, “If Spain continues to maintain a prolonged period of compensation and with millions out of work, the banking system could change from being a support to the economy as it was during the crisis, to being an obstacle to recovery.”