Spain sets date for election

The Spanish government today called a general election for March 9, formally launching what is shaping up as a close race between the ruling Socialists and opposition conservatives.

Prime Minister Jose Luis Rodriguez Zapatero is seeking a second term after being elected in March 2004 elections that defeated a conservative government devastated by the Madrid train terrorist bombings by Muslim extremists. The attack killed 191 people and injured more than 1,800.

The formal campaign runs for two weeks before the poll, but the two parties have been campaigning for months.

Polls show the Socialists with a lead of two to three per cent over the conservative Popular Party, but statistically the parties are virtually in a dead heat.

Despite the close race Mr Zapatero leads opposition leader Mariano Rajoy in terms of personal approval rating.

A survey published earlier this month said Spaniards give him higher marks for leadership, foreign policy, social issues and others, although they prefer Mr Rajoy for dealing with the armed Basque separatist group ETA and handling the economy.

In its favour, Mr Zapatero’s camp points to what it calls a strong economy, social reforms such as gay marriage and changes that gave more self-rule to semi-autonomous regions like Catalonia.

The conservatives are attacking his failed effort to negotiate peace with ETA, which declared a cease-fire in 2006 only to revert to violence last year after failing to win concessions in talks with the government.

Spain’s economy, for more than a decade one of the most vibrant in Europe, is cooling and inflation is running at more than 4 per cent, so the economy is also a big campaign issue.

The conservatives are promising tax cuts for businesses and low-income workers, while the government is pledging to create 1.6 million new jobs if re-elected and has already launched a programme to provide financial aid to young workers and low-earning families to help them pay their rent.