The debt of Spain's public administration rose by 16.51 percent in the second quarter of 2011, compared with the same period last year, said the Bank of Spain (BOE) on Friday.
The rise takes the debt of the public administrations to 65.2 percent of Gross National Product, when after the first six months of 2010 it was the equivalent of 57.2 percent of GNP, an increase of 8 percent.
The debt now stands at 702,806 million euros, when it was 682,854 million euros 12 months ago.
A key factor in the debt is the money owed by Spain's 17 autonomous communities, which currently stands at 133,172 million euros, 23.6 percent higher that last year.
This figure has prompted the Popular Party, which controls many of the autonomous communities in the wake of the regional and local elections held in May this year, to recently announce a series of cutbacks in public spending where they hold power.
Catalonia has the highest level of debt, owing 38,530 million euros, that area of Spain is followed by the Comunidad Valenciana, which owes 20,547 million euros and Madrid, which has debts of 14,798 million euros
This news is published on the same day the Spanish cabinet of Jose Rodriguez Zapatero approved measures to reintroduce a wealth tax. This tax will affect 150,000 people whose fortunes are greater that 700,000 euros.
The Spanish government calculates that the measure will raise an extra 1,080 million euros in revenue over the two years it will be in operation.
Although this is a significant amount of money, it merely scratches the surface of the overall debt and has led to claims that the act is merely an electoral stunt ahead of the general elections to be held on Nov. 20 in Spain.