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MADRID (AP) — The Spanish government is revising higher its forecast for economic growth this year, to 2.7 percent from 2.3 percent previously.

Economy Minister Roman Escolano says the upgrade is due to an improving international economic climate, an upturn in business investment, and a return to stability in the restive region of Catalonia, where the central government has taken administrative control.

Spain’s economy, the fourth-largest in the 19-country eurozone, has in recent years posted some of the fastest economic growth in Europe. Last year it reached 3.1 percent.

The new forecasts published Tuesday include a jump in expected domestic demand, up 2.3 percent compared with an earlier forecast of 1.8 percent. The budget deficit is predicted at 2.3 percent of GDP.