The galloping debt of Social Security: it shoots up 477% since 2016 and already exceeds 99,000 million

Updated

The liabilities of the Administrations as a whole in the first quarter of the year also marked a historical maximum: 1.45 billion euros

The Minister of Social Security, José
The Minister of Social Security, José Luis Escriv.EFE

The debt of the Social Security Administrations is about to exceed the barrier of 100,000 million euros. Specifically, and if the latest data from the Bank of Spain for the month of March are observed, the system’s total liabilities are 99.187 million. And if you take that same publication and go back just a few years, you can see a galloping growth in debt which, despite messages of calm from the Government and Minister Escriv, shows the serious imbalances accumulated by Social Security.

Thus, at the close ofe 2016 the debt of the system was just over 17,000 million after many years at very similar levels. But from that moment on, both the Executive of Mariano Rajoy and that of Pedro Snchez increased this figure at a very rapid rate, although without a doubt the greatest increases have occurred with the Socialist Executive.

In 2020 alone, for example, the increase was just over 30,000 million, while in the previous year the increase had been about 14,000 million and the following year, that is, in 2021, the rebound exceeded 10,000 million. In total, and taking as a starting point the end of 2016, the rebound is a dizzying 477% as a direct consequence of the constant financing and loans by the State to Social Security.

1.45 billion total

The data published this Tuesday by the body headed by Pablo Hernndez de Cos also show that the debt of the Public Administrations as a whole is at 1.45 billion euroswhich is the highest level in history.

On the other hand, in relative terms there has been a small reduction compared to 2020 since the data is from 117% of GDP compared to the 118% in which 2021 closed. This drop, however, is the result of the growth of the economy itself and not, as the gross figures show, of a specific plan such as the one that the BdE itself or the Bank has requested so many times. Independent Authority for Fiscal Responsibility (AIReF) to the Government.

Valencian Community and Catalonia, among the most indebted Autonomous Communities

Within the autonomous communities, the debt fell in absolute terms in all regions compared to the first quarter of the previous year, except in Andalusia, Catalonia, the Region of Murcia, the Basque Country and the Valencian Community.

Catalonia (83,722 million euros), the Valencian Community (53,049 million), Andalusia (35,865 million) and Madrid (34,831 million) continue to concentrate two thirds of all the debt in the hands of the regional governments in the first quarter, although it is also due to a population issue.

However, as a percentage of GDP, the Valencian Community, with an indebtedness of 46%, continues to lead the most indebted regions in relation to its wealth, followed by Catalonia, with 35.7%, and Castilla-La Mancha and Region of Murcia, both with 34.9%, reports Europa Press.

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