Spain’s manufacturing sector expanded for a 13th month in December, though at a slower rate than a month before, a survey showed yesterday, while the employment index grew at its fastest in more than seven years.

Markit’s Purchasing Managers’ Index (PMI) of manufacturing companies stood at 53.8 in December, down from 54.7 in November – an 89-month high. It remained above the 50-mark that separates growth from contraction.

“Output continued to expand at a solid pace and manufacturers were able to further obtain new contracts despite raising their charges marginally. Furthermore, workers are increasingly feeling the benefit of growth,” Markit economist Andrew Harker said.

“The combination of increased new business, work in the pipeline and rising employment suggest that production growth should continue in the New Year.”

The employment index rose to 53.4 in December, up slightly from 53.0 a month earlier and marking the fastest rate of expansion since June 2007.

Spain emerged from six years of a deep economic downturn in mid-2013 and has been growing steadily ever since, although unemployment remains among the highest in the developed world at almost 24 per cent.