Spain‘s left-wing coalition government on Friday said, “The government has approved the creation of a minimum income scheme worth 462 euros ($514) a month for its poorest people.”
Addressing the press conference, Pablo Iglesias, Deputy Prime Minister of Spain, said, “The new scheme aims to reach 850,000 households or some 2.3 million people aged between 23 to 65 with assets of less than 16,614 euros, excluding house and discounted loans.”
Iglesias said, “Under the decree approved, the government would pay a monthly stipend and top-up existing revenue for people earning less so that they get less than the minimum amount every month. This will also include the incentives for finding a formal job.”
“As a result, average spending on fighting poverty in Spain should rise from 0.4 percent of GDP to practically equal to the average of 0.4 percent of the OECD peer country,” Iglesias added.
Adding to the development of Social Security Minister, Jose Luis Escriva said, “We will be successful if we can help the identified households to transition to a better place in society.”
“The minimum income would increase with the number of family members to a total of up to 1,015 euros per month, which would cost the government about 3 billion euros a year,” the government said.