Spain economy in a virtuous circle; recovery still under threat: IMF

Madrid

SPAIN has emerged from a devastating crisis and entered a "virtuous circle" with faster growth than its neighbours, says the International Monetary Fund (IMF) but it warns that high unemployment and the rise of populist parties still threaten the recovery.

The IMF raised its growth forecast for just two nations - Spain and the United States - in its gloomy quarterly World Economic Outlook report released last week that lowered global growth forecasts.