Spain’s business climate in 2025 is set for continued optimism, driven by foreign investments and growth across several key economic indicators, according to the latest edition of the Barometer of the Business Climate in Spain from the Perspective of the Foreign Investor. This report, a joint publication by ICEX-Invest in Spain, Multinationals with Spain, and the International Center for Competitiveness of IESE, reveals that foreign companies operating in Spain remain positive about the country’s economic prospects despite ongoing global uncertainties.

The study, which surveys over 700 foreign-owned companies established in Spain, highlights a widespread belief that 2025 will be a year of growth across various sectors, including investment, turnover, exports, and employment. With a focus on the opinions of foreign investors, the report underscores Spain’s continued strength as a key global business hub.

Key Findings for 2025:

1. Investments on the Rise
   The vast majority of foreign companies operating in Spain maintain an optimistic outlook for their investments in 2025. A full 89% of the companies surveyed expect to either maintain or increase their investments, with 36% planning to boost investment levels. This marks a significant signal of confidence in Spain’s economic stability and growth potential. Despite global economic complexities, the commitment to investing in Spain remains strong.

2. Turnover Growth
   Spain’s business landscape also shows promising trends in terms of turnover. In 2025, 87% of foreign companies anticipate either maintaining or growing their turnover, a notable increase from 78% in 2024. This improvement reflects a broader sense of confidence in the Spanish economy, particularly in light of its strategic location and competitive market environment.

3. Exports to Third Markets
   Exports remain a vital part of the Spanish economy, with 74% of foreign companies exporting from Spain. Of those, 92% expect their sales to third countries to either increase or stay stable in 2025. This continued growth in international sales underscores Spain’s role as a key exporter in Europe, acting as a bridge for foreign companies looking to tap into both European and global markets.

4. Employment Prospects
   Employment forecasts for 2025 also look promising, with 92% of companies planning to either maintain or increase their workforce. This reflects a 7-point improvement over the previous year’s figures. As companies expand their operations and revenue, the demand for skilled labor in Spain continues to rise, contributing to the overall economic recovery and growth.

Investor Confidence: Spain’s Infrastructure and Market Size Shine

Foreign investors in Spain have consistently praised the country’s infrastructure, market size, and access to qualified human capital. These factors were ranked among the strongest aspects of Spain’s business environment. The country’s geographic location, along with its access to both the European and Latin American markets, continues to make Spain an attractive destination for foreign businesses looking to expand.

However, some areas remain ripe for improvement. Respondents to the survey pointed to challenges related to taxation, financing, and regulatory burdens, particularly the need to reduce bureaucratic processes and address energy costs, although the latter has shown signs of improvement compared to previous years. Streamlining these aspects could further enhance Spain’s attractiveness to foreign investors.

Greenfield Investments: Spain’s Strong Global Position

A standout feature of Spain’s economic performance is its success in attracting greenfield foreign direct investment (FDI). Greenfield projects, which involve the creation of new facilities and businesses from scratch, have been a major contributor to Spain’s growth. In the first eleven months of 2024, Spain was the fifth-largest recipient of greenfield FDI globally, attracting nearly €33 billion in investment and creating over 60,000 jobs.

These projects are particularly significant from an economic standpoint as they involve new infrastructure and the hiring of employees, thus creating long-term growth potential and boosting Spain’s position in the global economy. Spain’s performance in greenfield investments speaks volumes about its competitive advantages, including its strategic location, skilled workforce, and well-developed infrastructure.