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Zapatero Names Spain Government, Promotes Women

12 April 2008

Minister Jose Luis Rodriguez Zapatero presented his new government to King Juan Carlos today, naming former economic adviser Miguel Sebastian to the first cabinet that has more women than men. Of 17 ministers, nine are women, including Carme Chacon, who moved from housing to become Spain's first female defense minister. Sebastian will serve as industry minister and Maria Teresa Fernandez de la Vega and Finance Minister Pedro Solbes will continue as deputy prime ministers, Zapatero said in a televised news conference. ``I am very proud to be the prime minister who for the first time has made a woman defense minister,'' Zapatero said today in Madrid after being sworn in by King Juan Carlos. ``Moreover, I feel very proud that there are more female ministers than male.'' Zapatero is beefing up the government's economic and social credentials as he bids to tackle Spain's slowest expansion since the recession of 1993. Economic growth will ease to 1.8 percent this year, less than half the 2007 rate, the International Monetary Fund forecast April 9, as a global credit shortage exacerbates a slump in Spain's housing market. Zapatero defeated People's Party leader Mariano Rajoy in elections on March 9 to win a second term as prime minister. Yesterday parliament confirmed him as prime minister, allowing him to form his new government. Sebastian, former chief economist at Banco Bilbao Vizcaya Argentaria SA, Spain's no. 2 bank, served as Zapatero's chief economic adviser during his first term before stepping down to mount a failed bid to become mayor of Madrid. 'Criminal Machismo' Among other changes announced today, Zapatero named Cristina Garmendia, the founder of Spanish biopharmaceutical company Genetrix, as minister of science and innovation. He also named Bibiana Aido as a new equality minister to promote opportunities for woman and combat violence against women that Zapatero called ``criminal machismo.'' Sebastian replaces Joan Clos as industry minister who worked as a doctor before entering politics. Sebastian will be in position to supervise Spanish power companies. Iberdrola SA and Union Fenosa SA have become targets of increasing bid speculation after builder ACS SA, the biggest shareholder in both, said last in February that it held talks with Paris-based Electricite de France about the French state-owned utility investing in Spain's energy market. Zapatero this week announced a raft of measures to shore up the economy. The government will build 1.5 million units of low- income housing over the next 10 years, cut taxes for those refurbishing old residential buildings and maintain subsidies for those renting their homes. Tax Breaks He also announced a plan to help unemployed construction workers find new jobs. Setting out his agenda in parliament this week, Zapatero said his government will meet its spending pledges, including an annual 400-euro ($633) income-tax rebate for all workers and pensioners, and will aim to reduce taxes further.

 
 
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