Foreign Investments in Spain

General overview

Spain is the world’s ninth largest economy and the seventh largest recipient in terms of foreign investments. There are more than 10,300 foreign companies that are located in Spain at the moment, developing activities in all business sectors. The Spanish government’s commitment to attract foreign investors reflects in high-tech innovation projects and permanent research activities. 

In terms of new companies financed by foreign investment, Spanish economy attracted approx. 431 projects every year between 2006 and 2009, with a yearly average of 31,000 million EUR. As a matter of fact, there have been registered 169 foreign investment projects in 2010, 17% of which were in the services sector and 14% in the new technologies sector.

Jobs in Spain

Spain has a highly qualified workforce. Before 2008, the Spanish economy was the one that generated the most jobs in Europe. In fact, Spain provided jobs not only for its residents, but also for many immigrants. In 2010, 50% more jobs were created in foreign companies than the previous year. Actually, 70% of the employment offer was in the automotive sector, according to the Ernst & Young report on Spain in 2010. More than 72% of the foreign companies developed increases of employment levels in Spain in 2011, as opposed to last year. At the beginning of 2011, the Spanish work force included 18.2 million people in both local and foreign companies, 72.84 of which are employed in a company that deals with the service sector, according to the National Statistics Institute.

Figures

In 2010, the main investors in Spain were the Netherlands, representing 21.4% of the total foreign investments, France with 18.5% and the United Kingdom with 16.5%. The two main sectors of activity that benefited from foreign capital in 2010 were transport and storage with 1,983 million EUR and real estate with 1,980 million EUR. The next in line were manufacturing industries (14.8%), financial activities and insurance (12.9%), electrical energy supply (11.9%) and scientific activities (8.4%), according to The State Company for the Promotion and Attraction of Foreign Investment. The most attractive regions in Spain for foreign investors are Madrid, Catalonia and Andalusia. Actually, 42.8% of the total investments go to Madrid and 34% to Catalonia, as it is mentioned in the Investment Registry of Spain.