The problems for debt-laden Spain continue to mount with more downside pressures on the sluggish recovery amid tight attempts to restrain government finances and salvage a financial sector from collapse.

Spanish unemployment is still confirmed as the highest in Europe and even rose more than expected as the recovery remains sluggish and spending dropped hurting retailers with rising inflation, costing even more jobs!

The National Statistics Institute said today on Friday in Madrid that unemployment in the first quarter rose 21.3% from the previous quarter's 20.3% and was worse than the expected rise to 20.7%.