Background Notes: Spain
PA/PC
Source: Office of Public Communication, Bureau of Public
Affairs
Date: Apr 30, 19914/30/91
Category: Country Data
Region: Europe
Country: Spain
Subject: Military Affairs, Cultural Exchange, Travel,
History, Trade/Economics,
International Organizations
[TEXT]
Official Name: Kingdom of Spain
PROFILE
Geography
Area: 504,750 sq. km. (194,884 sq. mi.) including the Balearic and
Canary Islands; about the size of Arizona and Utah combined. Cities:
Capital-Madrid (pop. 3.1 million in 1987, the most recent official
Spanish estimate). Other cities-Barcelona (1.7 million, 1987),
Valencia (732,491, 1987), Seville (655,435, 1987), Zaragoza
(575,317, 1987), Bilbao (382,413, 1987), Malaga (566,330, 1987).
Terrain: High plateaus and mountains. Climate: Seasonably
variable, dry; temperate in northwest.
People
Nationality: Noun-Spaniard(s). Adjective-Spanish. Population: 39
million (1990 est.). Annual growth rate: 0.3%. Density: 202/sq. mi.
Ethnic group: Mediterranean and Germanic composite. Religion:
Predominantly Roman Catholic. Languages: Spanish (official),
Catalan 17%, Galician 7%, Basque 2%. Education: Compulsory to age
16; literacy-97%. Work force (14.8 million, 1989): Agriculture-
16.7%; industry-24.8%; construction-7.4%; services-51.1%.
Government
Type: Constitutional monarchy (Juan Carlos I proclaimed king
November 22, 1975).
Branches: Executive-prime minister nominated by monarch, subject
to approval by democratically elected Congress of Deputies.
Legislative-bicameral Cortes: Congress of Deputies, 350 seats
elected by the d'Hondt system of proportional representation;
Senate, 4 senators elected in each of 47 peninsular provinces and
16 from the 3 island provinces; Ceuta and Melilla elect 2 each (total
208). The 17 autonomous regions also appoint 1 senator and 1
additional senator for each 1 million inhabitants within their
territory (about 20). Judicial-Constitutional Tribunal has
jurisdiction over constitutional issues. Supreme Tribunal heads
system comprising territorial, provincial, regional, and municipal
courts.
Subdivisions: 47 peninsular, 3 island provinces; 2 enclaves on the
Mediterranean coast of Morocco (Ceuta and Melilla); and 3 island
groups along that coast-Alhucemas, Pelon de Velez de la Gomera,
and the Chafarinas Islands.
Political parties: Spanish Socialist Workers Party (PSOE), Popular
Party (PP), Social and Democratic Center (CDS), and three
communist parties, the largest of which is the Spanish Communist
Party (PCE) grouped in the United Left coalition (IU). Key regional
parties are the Convergence and Union (CIU) in Catalonia and the
Basque National Party (PNV) in the Basque country.
Central government budget (1988): Revenues-$67.9 billion.
Expenditures-$77.5 billion.
Defense: 9.1% of FY 1988 budget.
Flag: Two red horizontal bands separated by a wider yellow band;
the national coat of arms, centered, shows the royal seal framed by
the Pillars of Hercules (the two promontories on either side of the
eastern end of the Strait of Gibraltar).
Economy
GDP (1989): $380 billion. 1990 projected: $489 billion. Annual
growth rate (1989): 4.9%. Per capita GDP (1989): $9,708. 1990
projected: $12,442.
Natural resources: Coal, lignite, iron ore, uranium, mercury,
pyrites, fluorspar, gypsum, zinc, lead, tungsten, copper, kaolin,
hydroelectric power.
Agriculture (5.3% of GDP): Products-grains, vegetables, citrus and
deciduous fruits, wine, olives and olive oil, sunflowers, livestock.
Industry (30.3% of GNP): Types-processed foods, textiles, footwear,
petrochemicals, steel, automobiles, consumer goods, electronics.
Trade (1989): Exports-$45 billion: automobiles, fruits, minerals,
metals, clothing, footwear, textiles. Major markets-EC 67%, US 7%.
Imports-$71 billion: petroleum, oilseeds, aircraft, grains,
chemicals, machinery, transportation equipment, fish. Major
sources-EC 57%, US 9%.
Official exchange rate (as of 9/90): 98 pesetas = US $1.
Fiscal year: Calendar year.
Membership in International Organizations
UN and its specialized agencies, North Atlantic Treaty Organization
(NATO), Western European Union (WEU), European Community (EC),
European Organization for Economic Cooperation and Development
(OECD), Conference on Security and Cooperation in Europe (CSCE),
INTELSAT, World Tourism Organization (WTO-headquartered in
Madrid), and the Council of Europe.
PEOPLE
Spain's population density, lower than that of most European
countries, is roughly equivalent to New England. In recent years,
following a long-standing pattern in the rest of Europe, rural
populations are moving to cities.
Spain has no official religion. The constitution of 1978
disestablished the Roman Catholic Church, while recognizing the
role it plays in Spanish society. More than 90% of the population
are nominally Catholic.
Educational System
Spain's overall student population in 1986-87 was
10,746,172. Of these, 70% attended public schools or universities.
The remainder (3,205,314) attended private schools or universities
(35,545), the great majority of which are operated by the Catholic
Church.
Compulsory education begins with primary school or general
basic education (EGB) for ages 6-14 and is free in public schools
and in many private schools, most of which receive government
subsidies. Following EGB graduation, students attend either a
secondary school offering a general high school diploma or a School
of Professional Education (corresponding to grades 9-11 in the
United States) offering a vocational training program. The Spanish
university system offers degree programs in law, sciences,
humanities, and medicine, and the Superior Technical Schools offer
programs in engineering and architecture.
Regional and Municipal Government
The 1978 constitution authorized the creation of regional
autonomous governments. By 1985, 17 regions covering all of
peninsular Spain, the Canaries, and the Balearic Islands had
negotiated autonomy statutes with the central government. In
1979, the first autonomous elections were held in the Basque and
Catalan regions, which have the strongest regional traditions by
virtue of their history and separate languages. Since then,
autonomous governments have been created in the remainder of the
17 regions.
HISTORY
From the ninth century BC to 700 AD, Phoenicians, Greeks,
Carthaginians, and Celts entered the Iberian peninsula, followed by
the Romans, who arrived in the second century BC. Spain's present
language, religion, and laws stem from the Roman period. Although
the Visigoths arrived in the fifth century AD, the last Roman
strongholds along the southern coast did not fall until the seventh
century. In 711 AD, North African Moors sailed across the straits,
swept into Andalusia, and, within a few years, pushed the Visigoths
up the peninsula to the Cantabrian Mountains. The Reconquest-
efforts to drive out the Moors-lasted until 1492, the year Columbus
made his voyage to the New World. By 1512 the unification of
present-day Spain was complete.
In the 16th century, Spain became the most powerful nation in
Europe, due to the immense wealth derived from the Americas.
Subsequently, a series of long, costly wars and revolts, capped by
the defeat by the English of the "Invincible Armada" in 1588, caused
the steady decline of Spanish power in Europe. Controversy over
succession to the throne consumed the country during the 18th and
19th centuries leading to occupation by France in the early 1800s.
The 19th century saw the revolt and independence of most of
the American colonies; three wars over the succession issue; the
brief ousting of the monarchy and establishment of the First
Republic (1873-74); and, finally, the Spanish-American War (1898),
in which Spain lost Cuba, Puerto Rico, and the Philippines to the
United States. A period of dictatorial rule (1923-31) ended with
the establishment of the Second Republic. It was dominated by
increasing political polarization, culminating in the leftist Popular
Front electoral victory in 1936. Pressures from all sides, coupled
with growing and unchecked violence, led to the outbreak of the
Spanish Civil War in July 1936.
Following the victory of his nationalist forces in 1939, Gen.
Francisco Franco ruled a nation exhausted politically and
economically. Spain was officially neutral during World War II but
followed a pro-Axis policy. The victorious Allies isolated Spain at
the beginning of the postwar period, and the country did not join the
United Nations until 1955.
Spain's economy began to recover in the 1950s, but large-
scale modernization and development did not occur until the 1960s.
GOVERNMENT AND POLITICAL CONDITIONS
Upon the death of Gen. Francisco Franco in November 1975,
Prince Juan Carlos de Borbon y Borbon, Franco's personally
designated heir, assumed the titles of king and chief of state.
Dissatisfied with the slow pace of post-Franco liberalization, in
July 1976, the King replaced Franco's last prime minister with
Adolfo Suarez. Suarez entered office promising that elections
would be held within one year, and his government moved to enact a
series of decree laws to liberalize the new regime.
Spain's first elections to the Cortes (parliament) since 1936
were held on June 15, 1977. Prime Minister Suarez's Union of the
Democratic Center (UCD), a moderate center-right coalition, won
34% of the vote and the largest bloc of seats in the Cortes.
Under Suarez, the new Cortes set about drafting a democratic
constitution which was overwhelmingly approved by voters in a
December 1978 national referendum.
The democratic constitution established Spain as a
parliamentary monarchy, with the prime minister responsible to the
bicameral Cortes elected every 4 years. After the constitution
entered into force at the end of 1978, Prime Minister Suarez called
for new national elections. The elections of March 1979 gave
Suarez's UCD a large plurality but the coalition of parties backing
Suarez soon began to disintegrate. In January 1981, Suarez
resigned, and the King nominated Leopoldo Calvo Sotelo to replace
him. On February 23, while the Congress of Deputies was voting on
the Calvo Sotelo nomination, rebel elements among the security
forces seized the congress and tried to impose a military-backed
government. However, the great majority of the military forces
remained loyal to King Juan Carlos, who used his personal authority
to put down the coup. The bloodless coup attempt was over in 18
hours. On February 25, the Congress of Deputies reconvened to
approve Calvo Sotelo's nomination as prime minister.
In October 1982, the Spanish Socialist Worker's Party (PSOE),
led by Felipe Gonzalez Marquez swept both the Congress of Deputies
and Senate, winning an absolute majority; the government was
reelected in June 1986.
On December 14, 1988, the two largest labor union
confederations, the Socialist-affiliated General Workers Union and
the communist-led Confederation of Workers Commissions,
sponsored a successful 1-day nationwide work stoppage. The
general strike was seen as an expression of labor union
dissatisfaction with the governing PSOE's leadership as well as a
move to highlight specific union grievances. It marked a widening
split between the labor unions and the Socialist government. The
strike was interpreted as a sign that the government had lost some
support, especially among blue-collar workers, a sector of the
electorate traditionally pro-socialist.
Prime Minister Gonzalez again called for a general election in
October 1989. Although the PSOE retained control of the Senate the
party lost ground, both to the Popular Party on the right and the
Communist-led United Left. On December 4, 1989, the Spanish
parliament approved King Juan Carlos' nomination of Felipe Gonzalez
as prime minister for a third term.
The year 1992 promises to be a banner year in Spain. The
summer Olympics are scheduled for Barcelona. A world's fair, Expo
92, will be held in Seville. There will be nationwide celebrations to
mark the 500th anniversary of Columbus' discovery of America and
to celebrate the contribution of Jewish and Arab cultures to Spain.
Also, Madrid has been designated the cultural capital of Europe for
1992.
Terrorism
The government of Spain is involved in a long-running
campaign against Basque Fatherland and Liberty (ETA), a terrorist
organization founded in 1959 and dedicated to promoting Basque
independence. ETA regularly targets Spanish government officials,
members of the military and security forces, and moderate Basques
for assassination. The group has carried out numerous bombings
against Spanish government facilities and economic targets. In
recent years, the Spanish government has had more success in
controlling ETA due in part to increased security cooperation with
French authorities.
In early 1989, the Spanish government held a series of
meetings in Algeria with ETA representatives in an attempt to
reach an agreement ending the campaign of terrorism. However, the
talks broke down and ETA resumed its terrorist operations with a
series of bombings on April 7, 1989, effectively ending a 3-month
cease-fire. The spring and summer of 1990 saw another significant
wave of terrorist operations, with ETA and the radical leftist group
GRAPO claiming responsibility for bombings against various public
installations throughout the country.
ECONOMY
The late 1950s marked an important turning point in Spain's
modern economic history. Beginning in 1959, under an IMF
stabilization plan, the country liberalized trade and capital flows,
particularly foreign direct investment. In the 3 years following
implementation of the plan, real growth in gross domestic product
exceeded 10%, and from 1965-1974 Spain's 7% average annual real
growth was the second fastest in the industrialized world. Spain
was transformed into a modern industrial economy with a thriving
tourism sector. The economic expansion led to improved income
distribution, and helped develop a large middle class. Social
changes brought about by economic prosperity and the inflow of new
ideas helped set the stage for Spain's transition to democracy
during the latter half of the 1970s.
Despite the success of economic liberalization, Spain
remained the most closed economy in Western Europe, judged by the
small measure of foreign trade to economic activity. Moreover, the
pace of reform slackened during the 1960s as the state remained
committed to "guiding" the economy. Considerable public
investments were made in heavy industries such as shipbuilding and
steel. As one of the industrial world's most energy import-
dependent economies, Spain was hard hit by the oil price shocks of
1973 and 1979. During the mid-1970s Spain was also undergoing a
political transition to democracy. Political uncertainties
associated with the transition kept the country from implementing
policies to adjust to the oil price shocks. From 1975-79 foreign
borrowing doubled, and the peseta was allowed to appreciate 35% to
offset the impact of the oil price rise on domestic prices and
incomes. At a time when economic conditions warranted a
moderation of labor costs because of trade loss, labor conflicts
proliferated and real wages climbed rapidly.
After 1975, Spain suffered 9 years of double-digit inflation.
Real economic growth slowed dramatically to an annual average of
1.6%. In the face of economic and political uncertainty investment
fell. Employment contracted by over 2 million jobs from 1975-
1985, and the unemployment rate rose from 4% to 22%.
Government Policy
When the PSOE took office in late 1982, the Spanish economy
was in deep crisis. Balance-of-payments problems were chronic,
with the current account deficit at 2.3% of GDP. Inflation was 14%
and the unemployment rate 16.5%. The government deficit reached
5.6% of GDP. Perhaps as serious, the economy suffered from
structural rigidities in labor and capital markets, which greatly
exacerbated the crisis.
The first priority of the socialist government was to reduce
the external imbalance and to control inflation. Its methods were
orthodox stabilization measures: a tightening of monetary policy,
sharp devaluation of the peseta, some reduction in the public
deficit, and a move toward wage moderation. The adjustment
program began to bear fruit in terms of lower inflation and a
current account surplus, so that austerity measures were eased
after 1984.
At the same time, the government developed programs for
significant structural economic reforms leading to industrial
restructuring, greater labor market flexibility and changes in social
security financing. While the structural reform process is ongoing,
especially since Spain joined the European Community (EC) in 1986,
the progress achieved has gone a long way toward accommodating
the economy to EC membership and to sustain relatively strong
economic growth over the long term.
Industrial Reconversion
Several inefficient and uncompetitive industries were part of the
structural problems afflicting the Spanish economy. A law on
reconversion and reindustrialization was approved in 1984 to
strengthen these industries. The law provided public funds,
subsidized credits, and loan guarantees to help affected firms
rationalize employment and modernize capital in sectors including
appliances, certain machinery and capital equipment, electronics,
telecommunications, fertilizers, steel, shipbuilding and textiles,
which employed more than 280,000 workers. Although the
reconversion program extends until 1991 in some sectors, by the
end of 1988 over 90% of the 89,000 superfluous jobs targeted had
been cut, and 83% of the projected cost had been spent on the
program.
Labor
Labor market rigidities are another serious structural
problem. In particular, the Spanish system of job security, which
makes it difficult to lay off workers without substantial
indemnities, tends to discourage firms from hiring, exacerbating
the unemployment problem. In 1984, labor agreed to legal changes
which permitted hiring for new positions under temporary
contracts. Such contracts may extend up to 3 years before an
employer incurs an indefinite commitment to the employee. Since
1984, the vast majority of new hirings have occurred under the
temporary hiring provision. Unemployment in 1989 declined more
than 2% to 17.3%, but as the momentum of economic expansion
slows, job creation is expected to slow as well.
Current Performance
By 1985, economic reforms and significant improvement in
the terms of trade associated with a fall in oil prices contributed
to a rebound in employment, investment, and economic growth.
Since then, the economy has experienced a strong, investment-led
expansion. Investment, averaging nearly 16% per annum in real
terms in 1986-88, has been stimulated by a sharp recovery in
business profitability, growing foreign investor interest in Spain,
and rising domestic business confidence. GDP growth averaged 4.7%
per annum over the same period, rising to over 5% 1987-88 and 4.9%
in 1989. Following the slow down which commenced in late 1989,
projected growth for 1990 is 4.1%. The expansion must continue
with above average growth rates through the turn of the century in
order to achieve the government's primary economic objectives of
eliminating the serious problem of unemployment and raising the
Spanish standard of living to the level of more advanced European
economies.
While Spain expects to grow moderately faster than the rest
of Europe over the longer term in order to catch up, the government
considers the current rate of growth, almost 5% in real terms in
1989, to be too strong. After initial success in the battle to lower
inflation, strong demand pressure contributed to an acceleration of
inflation in 1988 and 1989, which the government attempted,
unsuccessfully, to check with a tighter monetary policy. The
subsequent rise in interest rates caused an appreciation of the
peseta, which exacerbated a growing trade deficit.
Spain's trade deficit was the industrial world's third largest
in 1988-89, but it is not an immediate problem because economic
growth is investment-led, and rapid growth in foreign investment
assures adequate financing. Nevertheless, the government has
become concerned over the speed of deterioration in the trade
account, as well as the threat high domestic inflation poses to
Spain's international competitiveness. Consequently, it tightened
monetary policy further in mid-1989 and slapped on credit controls
in order to cool the "heated" pace of economic activity and thereby
assure a more moderate, but more sustainable rate of growth over
the long term.
One of the current problems is that the political dialogue over
economic policy among government, business, and labor has
weakened. Reacting to the sharp increase in profits business has
enjoyed during the current expansion, labor has become impatient to
share in the benefits and is more critical of the official emphasis
on economic growth vs. redistribution. The dispute has prevented
renewal of an economic and social agreement, such as those signed
by government, business, and labor prior to 1987, in order to
establish guidelines for wage moderation in collective bargaining.
Spain and the European Community
The government's economic policies must also advance the
process of integration into the European Community. Spain's
decision to join the EC in 1986 represented a broadly supported
political determination to identify Spain with Western European
democracy and free market policy. The economic consequences
mean that Spain must continue to open its economy, upgrade
infrastructure, and adapt economic legislation to EC norms. Spain
has been successful in most cases. Strong economic growth has
greatly eased this process of integration. The coincidence of
Spain's transition period with the implementation of the EC single
market adds to the challenge of integration and increases the
prospects for long term economic advantages as a result of the
decision to join the EC.
Since joining the EC, Spanish trading patterns have shifted
dramatically. Imports from the EC increased to 58% of the total in
1990-from 37% in 1985. The share of Spanish exports going to EC
countries rose to 67% in 1989, up from 52% in 1985. The US share
in Spain's trade declined sharply. The import share is recovering
(9% for 1989, up from 8.3% in 1987). The 1989 exports share was
7.4%, down from 8% in 1987. The United States continues to
maintain a large trade surplus with Spain ($6.5 billion exports vs.
$3.3 billion imports in 1989). EC participation in foreign
investment in Spain has climbed significantly to 55% of registered
new foreign direct investment, while the US share has slipped even
as US investment in absolute terms has steadily increased.
With Spain's economic future now closely linked to the
European Community and Spain's integration into the EC proceeding
smoothly, the Spanish government has become one of the
community's most committed advocates of deeper European
integration. In June 1989, at the end of a successful 6 months in
the EC presidency, the government agreed to commit the peseta to
stabilization within the European monetary system's (EMS) exchange
rate mechanism, as a first step toward eventual European monetary
integration. The firm commitment to integration, however, leaves
the Spanish government little margin to diverge from an orthodox
mix of economic policies. In particular, participation in the EMS
requires Spain to expand its range of economic policies by
increasing fiscal discipline and reducing reliance on monetary
policy.
Industry
Spain's leading industries are automobiles, steel, chemicals,
shoes and leather goods, clothing, and rubber products. Tourism is
also a major industry as well as a vital source of foreign exchange.
With 50 million foreign visitors per year, Spain is one of the
world's leading tourist countries. Most visitors are Europeans
attracted to Spain's Mediterranean coast. Tourism receipts were up
slightly, from $16.2 billion to $18 billion in 1990, despite a 4% drop
in tourist entries.
Basic industries such as iron and steel, shipbuilding, machine
tools, and metalworking are located in the north on the Atlantic
coast, in the areas of Bilbao, Santander, Oviedo, and La
Coruna/Ferrol, as well as in the south near Cadiz. Industries such
as electronics, textiles, and plastics have gravitated to the
Catalonia region around Barcelona. Madrid is the financial capital,
the administrative center for corporate headquarters, and a nexus
for light industry and high technology. Government coordinated
efforts have dispersed some industry into southern Spain and other
less industrialized areas, in conjunction with regional development
and diversification programs which now benefit from EC
development funds.
A long-term objective of the Spanish government is to
increase the efficiency of state commercial enterprises such as the
national railroad (RENFE) and the state-owned holding company, the
Instituto Nacional de Industria (INI), which suffer from heavy
losses. INI was responsible for an earlier period of heavy
industrialization in steel production, shipbuilding, civil aviation,
defense industries, and many other areas. More recently, INI has
been heavily involved in the process of industrial reconversion.
Current plans for INI call for an end to government subsidies after
1992. The Spanish government has also moved to privatize a
number of unprofitable public enterprises and others not essential
to its commercial strategy. In some cases minority participation in
public enterprises, such as the state petroleum company, has been
sold through shares to the public.
Foreign Investment
Foreign investment has been important to Spain's
industrialization. This is especially so in the automotive sector,
where the investments of Ford in Valencia and General Motors in
Zaragoza and Cadiz have contributed to making Spain the world's
sixth largest automobile exporter. Since Spain joined the EC,
foreign investment regulations have been liberalized to satisfy EC
standards, and foreign investment in new and established plants has
increased dramatically. Volkswagen's purchase of the Spanish
automobile manufacture SEAT from the government was one of the
most significant foreign investments. Net foreign investment rose
11% between 1989 and 1990 from $15 billion to $16.7 billion. The
United States accounted for 4% of the 1989 total, down from 22% in
1985.
Agricultural Production and Trade
Although it has declined in relative importance in the overall
Spanish economy in recent decades, agriculture still accounts for
more than 6% of GDP, 13% of total employment, and 17% of total
export value. Harsh terrain and limited rainfall have contributed to
the traditionally low productivity of Spanish agriculture. However,
the significant expansion of irrigation and other technological
advances in recent years has resulted in considerable gains in
productivity, although Spain still lags behind most other European
countries.
Agricultural productivity and the ability to compete with
other nations has taken on renewed importance following Spain's
accession to the EC. After a transition period of up to 10 years,
Spain will be fully integrated into the EC's common agricultural
policy, and agricultural trade will be permitted to flow freely
between Spain and other EC countries. The relatively inefficient
Spanish livestock sector suffers from competition from EC imports
but Spanish fruit and vegetable producers should benefit from
greater access to northern European markets.
Crop growing comprises nearly 60% of the value of Spain's
total agricultural production. Grains are the most important crop,
accounting for 7.8 million hectares of the 20.1 million cultivated.
Other major crops are olives and winegrapes, with 2.1 and 1.5
million hectares, respectively. Livestock and poultry production
account for the remaining 40% of agricultural production value. Per
capita meat consumption is about 86 kilograms per year, with pork
comprising about 52% of the total.
Spain is one of the most important markets for US
agricultural products, with imports in 1989 totaling $862 million.
Corn and sorghum have been especially important US exports to
Spain. The EC's failure to adequately compensate the United States
for the loss of these exports as a result of Spanish accession to the
community precipitated a major trade dispute. A negotiated
settlement obligates Spain to import 2 million tons of corn and
300,000 tons of sorghum from non-EC countries per year through
1990. Other important Spanish agricultural imports from the
United States are soybeans, tobacco, forest products, corn gluten
feed, and cotton. Spain's principal agricultural exports are citrus
fruits, other fresh and processed fruits and vegetables, wines, and
olive oil.
FOREIGN RELATIONS
After the return of democracy to Spain following the death of
Gen. Franco in 1975, Spain's foreign policy priorities were to break
out of the diplomatic isolation of the Franco years and universalize
its diplomatic relations, to enter the EC, and to define its security
relations with the West.
Important developments in all these areas took place in 1986.
With the normalization of diplomatic relations with Israel and
Albania, Spain virtually completed the process of universalizing its
diplomatic relations. The only country with which it now does not
have diplomatic relations is North Korea. Spanish entry into the EC
was officially accomplished on January 1, 1986, completing a
sometimes difficult process of negotiations over several years.
With the March 1986 referendum on NATO membership, Spain
reconfirmed its 1982 decision to become the 16th member of the
NATO alliance, under specified conditions.
Spain's EC membership is now an important part of its foreign
policy. Even on many international issues beyond Western Europe,
Spain prefers to coordinate its efforts with its EC partners through
the European political cooperation mechanism.
Spain has maintained its special identification with Latin
America. Its policy emphasizes the concept of Hispanidad, a
mixture of linguistic, religious, ethnic, cultural, and historical ties
binding Spanish-speaking America to Spain. Spain has been an
effective example of transition from authoritarianism to
democracy, as shown in the many trips that the Spain's king and
prime ministers have made to the region. Spain maintains economic
and technical cooperation programs and cultural exchanges with
Latin America, both bilaterally and within the EC.
Spain also continues to focus attention on North Africa,
especially on Morocco. This concern is dictated by geographic
proximity and long historical contacts, as well as by the two
Spanish enclave cities of Ceuta and Melilla on the northern coast of
Africa. While Spain's departure from its former colony of Western
Sahara ended direct Spanish participation, Spain maintains an
interest in the peaceful resolution of the conflict brought about by
decolonization. Spain has gradually begun to broaden its contacts
with sub-Saharan Africa and consistently speaks out against
apartheid in South Africa. Spain has a particular interest in its
former colony of Equatorial Guinea, where it maintains a large aid
program.
In its relations with the Arab world, Spain frequently
supports Arab positions on Middle East issues. The Arab countries
are a priority interest for Spain because of oil and gas imports and
because several Arab nations have substantial investments in Spain.
Spain has been successful in managing its relations with its
two European neighbors, France and Portugal. The accession of
Spain and Portugal to the EC has helped ease some of their periodic
trade frictions by putting them into an EC context. Bilateral
cooperation against Basque ETA terrorism has also given a boost to
Franco-Spanish relations. Ties with the United Kingdom are
generally good, although the question of Gibraltar remains a
sensitive issue. The two countries agreed in 1984 to discuss all
subjects, including sovereignty, in their talks on the future of the
British colony. This has led to a relaxation of border controls and
greater movement of people and goods.
US-SPANISH RELATIONS
Spain and the United States have a long history of official
relations and are now closely associated in many fields. This
association has been cemented in recent years by the exchange of
high-level visitors. President Reagan visited Spain in May 1985,
and Spanish Prime Minister Felipe Gonzalez visited Washington in
June 1983 and October 1989. The King and Queen of Spain have
visited the United States officially on numerous occasions, most
recently in 1987 when they visited the American southwest. Crown
Prince Felipe visited the United States in September 1989.
In addition to US and Spanish cooperation in NATO, defense and
security relations between the two countries are regulated by a
1988 agreement on defense cooperation (ratified in May 1989).
Under this agreement, Spain authorizes the United States to use
certain facilities at Spanish military installations. The principal
facilities used by the United States under the agreement are at
Spanish air force installations in Zaragoza and Moron (near Seville),
and at the naval base at Rota in southern Spain. By May 1992, the
United States will transfer from Spain its 401st Tactical Fighter
Wing at Torrejon Air Base outside Madrid.
In addition to the bilateral defense agreement, the two
countries cooperate in several other important areas. Under an
agreement which will remain in force until 1994 (and is subject to
renewal at that time), the US National Aeronautics and Space
Administration (NASA) and the Spanish National Aerospace Institute
(INTA) jointly operate tracking stations in the Madrid area in
support of earth orbital, lunar, and planetary exploration missions.
The Madrid tracking station is one of the three largest tracking and
data acquisition complexes supporting NASA operations. A separate
agreement on scientific and technological cooperation is currently
under negotiation.
An agreement on cultural and educational cooperation was
signed on June 7, 1989. A new element, support from both the
public and private sectors, gives a different dimension to the
programs carried out by the joint committee for cultural and
educational cooperation. These joint committee activities
complement the binational Fulbright program for graduate students,
postdoctoral researchers, and visiting professors, which, in 1989,
became the largest in the world. Besides assisting in these
exchange endeavors, the US Embassy also conducts a program of
official visits between Spain and the United States.
Principal Government Officials
Chief of State, Commander in Chief of the Armed Forces-
King Juan Carlos I
President of the Government (Prime Minister)-
Felipe Gonzalez Marquez
Minister of Foreign Affairs-Francisco Fernandez Ordonez
Ambassador to the United States-Jaime de Ojeda y Eiseley
Spain maintains an embassy in the United States at 2700 15th
Street NW, Washington, DC 20009 (tel. 202-265-0190) and
consulates in many larger US cities. In summer 1991, a new
chancery will open at 2375 Pennsylvania Avenue, NW, Washington,
DC 20037.
Principal US Officials
Ambassador - Joseph Zappala
Deputy Chief of Mission - Edward A. Casey, Jr.
Chief, Office of Defense Cooperation -
Brig. Gen. Antonio Maldonado, USAF
Counselor for Administrative Affairs - Perry W. Linder
Counselor for Agricultural Affairs - Richard T. McDonnell
Counselor for Commercial Affairs - Robert Kohn
Counselor for Consular Affairs - Michael L. Hancock
Counselor for Economic Affairs - Pierce K. Bullen
Counselor for Political Affairs - Walter S. Clarke
Counselor for Politico-Military Affairs - Martin McLean
Counselor for Public Affairs - Jacob Gillespie
Defense Attache - Capt. Carmine Tortora, USN
Drug Enforcement Agency Attache - David Herrera
Federal Aviation Agency Representative - Robert J. Bernard
Labor Attache - Robert Hare
NASA Representative - John F. South
Regional Security Officer - Stanley Bielinski, Jr.
Science Attache - Robert Morris
Consul General, Barcelona - Ruth A. Davis
Consul, Bilbao - Heather Hodges
The US Embassy is located at Serrano, 75, 28006 Madrid (tel.
34-1-577-4000; fax 34-1-577-5735). Consulate General,
Barcelona, Via Layetana, 33 (tel. 34-3-319-9550; fax 34-3-319-
5621). Consulate Bilbao, Avenida del Ejercito, 11 - 3rd floor,
Duesto, Bilbao, 12 (tel. 34-4-475-8300; fax 34-4-476-1240).
TRAVEL NOTES
Customs: US citizens are permitted to enter Spain without
visas as temporary visitors for business, tourism, or transit.
Bearers of US diplomatic and official passports must have
appropriate visas regardless of the nature of the visit.
Climate and clothing: Clothes suitable for the Washington, DC,
climate are recommended. Slacks are worn in public, but not shorts.
Sweaters and raincoats are advisable.
Health: Sanitary conditions and facilities meet European
standards. Health requirements change, check latest information.
Telecommunications: Local and long-distance telephone
services are readily available. Government telegraph offices handle
all telegrams. Madrid is six time zones ahead of eastern standard
time.
Transportation: Public transportation is inexpensive and
widely used. Taxis are numerous and fares are reasonable. Air and
rail facilities serve most cities in Spain, with connections to major
cities in Europe. Rental cars are available, with or without a driver.
Major highways are good. Gasoline prices are among the highest in
Europe.
Published by the United States Department of State -- Bureau of
Public Affairs -- Office of Public Communication -- Washington,
DC -- Series Editor: Peter Knecht--Department of State Publication
Background Notes Series. This material is in the public domain and
may be reprinted without permission; citation of this source is
appreciated.For sale by the Superintendent of Documents, US
Government Printing Office, Washington, DC 20402.(###)