Horizon Spain

Building a Franco-Spanish economic engine is more than an ambition: it is a strategic imperative for Europe. An alliance of economic performance, democratic values, and a culture of the art of living.

We possess extraordinary combined strengths that simultaneously reinforce our European sovereignty: agri-food, decarbonized energy – strategic in the age of AI, industrial champions in digital technology, mobility, healthcare, and luxury; the two leading countries in tourism and services. And a winning, competitive spirit! This is the conviction that motivated me to co-lead an entrepreneurial project to create a Franco-Spanish accelerator and investment fund.

After 40 years of European integration, we have a wealth of talent with interconnected business cultures. I've witnessed this collaboration and synergy firsthand as a leader in large corporations and scale-ups. The Franco-Spanish treaty signed in Barcelona in 2023 laid the groundwork; now it's time to make this engine a success.

Let's go!

David Navarro Olivencia – Deputy General Director – CASA PADEL

KEY FIGURES

• Population : 50,3 million inhabitants
• GPD : 2 billion (in USD)
• 15ème world economic power
• Currency : Euro (EUR)

COUNTRY RISKS

• Persistent political instability: The governing coalition remains fragile, making it difficult to adopt structural reforms and implement new economic policies. This situation is reflected in particular by the renewal of the budget for several years.
• Weaknesses in the labor market: Despite the reforms undertaken, unemployment remains high and above the European average. These structural imbalances weigh on social inclusion and limit long-term growth potential.
• Public debt remains high: Public debt, although gradually decreasing, remains close to 100% of GDP. This situation limits budgetary flexibility, particularly in the event of an economic slowdown or new shocks.
• Vulnerability to external and climatic shocks: The economy remains vulnerable to energy fluctuations and a slowdown in tourism. Furthermore, the increasing frequency of extreme weather events (droughts, fires, floods) exacerbates economic and budgetary risks.

AREA OPPORTUNITIES

• Dynamic economic growth: The Spanish economy maintains a growth rate above the euro area average, driven by robust domestic demand. Household consumption and investment, notably supported by European funds, remain the main drivers of activity.
• A high-performing services and tourism sector: Tourism plays a key role, with visitor numbers near their highest levels and contributing significantly to the current account surplus. Services (transport, IT, telecommunications) also strengthen the country's external competitiveness.
• Strong potential in the digital sector: Spain stands out for its high level of investment in the digital transition and the increasing adoption of technologies, including AI. This dynamic contributes to modernizing the economy and stimulating productivity gains in the medium term.
• A promising energy transition: The country has set ambitious targets with 81% renewable electricity aimed for by 2030. Public and European investments in green energy, infrastructure and decarbonization open up significant opportunities for economic players.

To discover the full content, check out our edition Horizon Spain.