Spanish Public Debt. That’s how we were a year ago, that’s how we are today

That’s how things are right now for our public debt maturities. Although the Spanish risk premium has been reduced more than considerably in recent months, it seems that the markets are perfectly “rational”:

Public debt

cash

These were the public debt maturities that we estimated we had at the end of December 2012 for 2013 compared to the estimate that we will have to face for next year:

(We assume that about 23 billion due between November and December will be covered with issues of Treasury bills within 12 months and that the public deficit in 2014 will be 5.8% of GDP, Brussels estimate)

Cover maturities for an amount

cash

Well, in 2014, if all goes well we will have to cover maturities for an amount exceeding more than 56 billion dollars to the number of maturities we had in 2013, 27% more. And at the time in 2013 we had 30% more maturities than in 2012.

In other words, the public debt ball each year continues for the moment growing at a rate of 30%. Although unlike a year ago, investors seem to be now discounting that Spain will be able to volatilize its debt as if by magic.

We have increased the debt

money

As for the total volume of debt + interest that we have yet to pay, today we owe 1.1 billion dollars. In April 2012 (a year and a half ago) we owed 922 billion. We have increased the debt by about 180 billion dollars, that is to land the figure a little, about 320 million dollars a day, 13 million dollars more debt every hour, or seen another way, every Spanish has today 4 thousand dollars more debt than a year and a half ago.

But as I said, the money is entering Spain in abundance and it seems that we will not have short-term liquidity problems, although today we are more indebted and are much more solvent than a year ago … until a new event trigger a debt crisis again.

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