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MADRID, June 29 (Xinhua) -- Spain's economy grew by 0.7 percent in the second quarter of the year, according to data published by the Bank of Spain.
Economic growth slowed slightly as the country's economy had grown by 0.8 percent in the first quarter of the year, economics newspaper Expansion reported on Wednesday.
According to the bank, the economic growth was fueled by domestic demand in the second quarter, especially private and public consumption. The institution also highlighted that falling fuel prices and consumer credit were helping increase domestic demand.
On the other hand, the bank said investment had slowed down, possibly due to political uncertainty. The lack of government in the country, after the second general election in six months was held three days ago, had been a major contributing factor to the slowdown.
Meanwhile, companies' investments could also have been affected by the lack of government and the uncertainty about future economic policies.
The Bank of Spain encouraged the government to increase revenue, which is considered weak, and contain expenditure in order to meet the 3.0 percent deficit target requested by Brussels. Enditem
