Pedro Sánchez, Spain’s prime minister, is fighting for his political life. The corruption scandals engulfing his Socialist party have reached a critical point, threatening not just his government but the stability of the entire Eurozone. Sources confirm that multiple judicial investigations are circling his inner circle, with allegations stretching from illegal party financing to bribery involving high-profile businessmen.
The timing could not be worse. Spain’s economy, still fragile after the pandemic, is now rattled by political uncertainty. Bond yields have spiked, and the euro is under pressure as investors flee risk.
Documents uncovered by this newsroom reveal that Sánchez’s party accepted millions in undeclared donations from companies later awarded lucrative public contracts. The prime minister denies wrongdoing, but the evidence is stacking up. His coalition, a fragile mix of socialists and far-left allies, is starting to crack.
Key partners have called for an independent inquiry, threatening to withdraw support. If Sánchez falls, Spain faces a snap election, which could usher in a right-wing government bent on rolling back reforms. The European Central Bank is watching closely.
Any sign of instability in Spain, the fourth-largest economy in the Eurozone, could trigger a wider crisis. Sources inside the finance ministry say contingency plans are already being drawn up. The question is whether Sánchez can survive until his term ends.
If not, the fallout will be felt from Madrid to Brussels.
