In our opinion, reforms passed since 2010 have put Spain in a favorable position to benefit from weaker oil prices, the depreciated euro, and the European Central Bank's accommodative monetary stance. Consequently, we have raised our 2015-2017 average annual GDP projection by 0.3 of a percentage point to 2.2%, with some upside potential. Still, we think uncertainties about a possible macroeconomic and fiscal policy shift remain ahead of this year's regional and general elections. We are therefore affirming our 'BBB/A-2' ratings on Spain. The stable outlook on Spain balances our projections over the next two years of a broad-based economic recovery and gradual budgetary consolidation against risks connected to Spain's large net external liability position, and the potential negative impact
