Background: Spain's powerful world empire of the 16th and 17th centuries ultimately yielded command of the seas to England. Subsequent failure to embrace the mercantile and industrial revolutions caused the country to fall behind Britain France and Germany in economic and political power. Spain remained neutral in World Wars I and II but suffered through a devastating Civil War (1936-39). In the second half of the 20th century it has played a catch-up role in the western international community. Continuing concerns are large-scale unemployment and the Basque separatist movement.
Climate: temperate; clear hot summers in interior more moderate and cloudy along coast; cloudy cold winters in interior partly cloudy and cool along coast
Terrain: large flat to dissected plateau surrounded by rugged hills; Pyrenees in north
Environment Current issues: pollution of the Mediterranean Sea from raw sewage and effluents from the offshore production of oil and gas; water quality and quantity nationwide; air pollution; deforestation; desertification
Legislative branch: bicameral; General Courts or National Assembly or Las Cortes Generales consists of the Senate or Senado (259 seats - 208 members directly elected by popular vote and the other 51 appointed by the regional legislatures to serve four-year terms) and the Congress of Deputies or Congreso de los Diputados (350 seats; members are elected by popular vote on block lists by proportional representation to serve four-year terms)
Political parties and leaders: Basque Nationalist Party or PNV [Xabier ARZALLUS Antia]; Canarian Coalition or CC (a coalition of five parties) [Lorenzo OLLARTE Cullen]; Convergence and Union or CiU [Jordi PUJOL i Soley secretary general] (a coalition of the Democratic Convergence of Catalonia or CDC [Jordi PUJOL i Soley] and the Democratic Union of Catalonia or UDC [Josep Antoni DURAN y LLEIDA]); Galician Nationalist Bloc or BNG [Xose Manuel BEIRAS]; Party of Independents from Lanzarote or PIL [leader NA]; Popular Party or PP [Jose Maria AZNAR Lopez]; Spanish Communist Party or PCE [Francisco FRUTOS]; Spanish Socialist Workers Party or PSOE [Joaquin ALMUNIA Amann secretary general]; United Left or IU (a coalition of parties including the PCE and other small parties) [Francisco FRUTOS]
International organization participation: AfDB AsDB Australia Group BIS CCC CE CERN EAPC EBRD ECE ECLAC EIB EMU ESA EU FAO IADB IAEA IBRD ICAO ICC ICFTU ICRM IDA IEA IFAD IFC IFRCS IHO ILO IMF IMO Inmarsat Intelsat Interpol IOC IOM (observer) ISO ITU LAIA (observer) NATO NEA NSG OAS (observer) OECD OPCW OSCE PCA UN UNCTAD UNESCO UNHCR UNIDO UNMIBH UNMIK UNTAET UNU UPU WCL WEU WHO WIPO WMO WToO WTrO ZC
Flag description: three horizontal bands of red (top) yellow (double width) and red with the national coat of arms on the hoist side of the yellow band; the coat of arms includes the royal seal framed by the Pillars of Hercules which are the two promontories (Gibraltar and Ceuta) on either side of the eastern end of the Strait of Gibraltar
Economy overview: Spain's mixed capitalist economy supports a GDP that on a per capita basis is three-fourths that of the four leading West European economies. Its center-right government successfully worked to gain admission to the first group of countries launching the European single currency on 1 January 1999. The AZNAR administration has continued to advocate liberalization privatization and deregulation of the economy and has introduced some tax reforms to that end. Unemployment nonetheless remains the highest in the EU at 16%. The government for political reasons has made only limited progress in changing labor laws or reforming pension schemes which are key to the sustainability of both Spain's internal economic advances and its competitiveness in a single currency area. Adjustment to the monetary and other economic policies of an integrated Europe - and reducing the unacceptably high level of unemployment - will pose difficult challenges to Spain in the next few years.
Industries: textiles and apparel (including footwear) food and beverages metals and metal manufactures chemicals shipbuilding automobiles machine tools tourism
Exports: $112.3 billion (f.o.b. 1999 est.) Commodities: machinery motor vehicles; foodstuffs other consumer goods Partners: EU 72% (France 20% Germany 14% Italy 9% Portugal 9% UK 8%) Latin America 7% US 4% (1998)
Imports: $137.5 billion (f.o.b. 1999 est.) Commodities: machinery and equipment fuels chemicals semifinished goods; foodstuffs consumer goods (1997) Partners: EU 67% (France 18% Germany 15% Italy 10% UK 8% Benelux 8%) US 6% OPEC 5% Japan 3% Latin America 4% (1998)
Disputes international: Gibraltar issue with UK; Spain controls five places of sovereignty (plazas de soberania) on and off the coast of Morocco - the coastal enclaves of Ceuta and Melilla which Morocco contests as well as the islands of Penon de Alhucemas Penon de Velez de la Gomera and Islas Chafarinas
Illicit drugs: key European gateway country for Latin American cocaine and North African hashish entering the European market; transshipment point for and consumer of Southwest Asian heroin