fDi Markets Newswire:

Home / News / FDI stages a comeback in Spain

The political situation in Catalonia has failed to derail Spain’s economic recovery. Courtney Fingar reports.

Spain’s economic recovery — so far unchecked by the Catalan political crisis — has been accompanied by a strong rebound in FDI. The country attracted 385 greenfield FDI projects in 2017, 61 more than the year before and 133 more than in 2015, according to cross-border investment monitor fDi Markets. Greenfield capital investment hit $13.9bn in 2017, its highest level since 2008. 

The top sector generating inbound projects in 2017 was software and IT services with 74, followed by business services and real estate. Ireland-based Accenture, a consulting and technology services firm, announced in December 2017 that it is expanding its technology centre in Seville, and will hire more than 600 people at its centres in Malaga and Seville, reaching 2600 workers in Andalusia and increasing its staff in Spain by 30% in 2018. 

The real estate sector, hit hard by the global financial crisis and then later by southern Europe’s sovereign debt crisis, was the sector attracting the most greenfield capital investment, bringing in an estimated $2.6bn. This was followed by the automotives sector with $2.3bn and hotels and tourism at $2.2bn.

“There is a lot of confidence in Spain from foreign investors based on the structural reforms we’ve implemented,” says José Carlos García, executive director of Invest in Spain. “Since the crisis, our financial services sector has been successfully restructured and our economic deficits tamed. There is confidence in our economic policy.”

Spanish economic growth returned to pre-crisis levels in mid-2017, outpacing the EU average. The International Monetary Fund recently lowered its gross domestic performance growth forecast for Spain from 2.5% to 2.4% due to uncertainty surrounding Catalonia, which voted for independence late last year in a referendum the Spanish government deemed illegal. But the EU’s economic forecast was more optimistic about the Spanish economy’s ability to shrug off the Catalonia uncertainties and raised its 2018 growth projection for Spain from 2.5% to 2.6%. And the Spanish government said it plans to raise its own growth forecast from 2.3% to 2.5% or higher.

This article is sourced from fDi Magazine
fDi Magazine

The fDi Report 2018: Free Download

The fDi Report 2018 promobox

Crossborder investment monitor

fDi Markets - Cross border investment monitor

fDi Markets is the only online database tracking crossborder greenfield investment covering all sectors and countries worldwide. It provides real-time monitoring of investment projects, capital investment and job creation with powerful tools to track and profile companies investing overseas.

Click here to find out more about fDi Markets

Corporate location benchmarking tool

fDi Benchmark is the only online tool to benchmark the competitiveness of countries and cities in over 50 sectors. Its comprehensive location data series covers the main cost and quality competitiveness indicators for over 300 locations around the world.

Click here to find out more about fDi Benchmark

Research report

fDi Intelligence provides customised reports and data research which deliver vital business intelligence to corporations, investment promotion agencies, economic development organisations, consulting firms and research institutions.

Find out more.
Follow us on Twitter