Spain's economic ministry has said the country's budget deficit hit almost 9.5% of gross domestic product at the end of 2009. This was up from 2.8% of GDP in 2008.
The government has estimated that the public deficit - which reflects spending by the central and regional governments as well as the social welfare administration - was equal to 11.4% of GDP in 2009.
Spain posted a public surplus of 2.2% as recently as 2007, but the country has since undergone one of the most dramatic reversals in Europe in its public finances. The government has boosted spending to face up to the worst recession in decades, which drove the unemployment rate to almost 19 % for the fourth quarter of 2009 and caused tax revenues to plunge.
Corporate tax receipts plunged 26% in 2009 while VAT revenues dropped 30%, the economy ministry said.
