Economy of Spain

Important Cities

Madrid is the capital of Spain. Barcelona is the largest commercial center and tourist destination. Other important cities in Spain include Valencia, La Coruña, Sevilla, Malaga, Granada, Ibiza, Palma de Mallorca and Santa Cruz.

Economic Sectors

Spain has been progressing economically since the Spanish Civil War in 1939 when its economy was devastated. Today, tourism, industry and agriculture play a major role in the country’s economy. Spain has seen the fastest economic development in Western Europe since the 1960’s.

Tourism has played a major role since the 1960’s and in the last 40 years, tourism has been the fastest growing economic sector of the country’s GDP, helping to accelerate growth overall. Millions of visitors flock to Spain and contribute almost $50 billion USD to Spain’s economy each year.

Agriculture contributes less than 5% of the nation’s GDP, which is high compared to other countries in Western Europe. Fishing is another important economic sector for Spain.

Industry contributes about 35% of Spain’s GDP, but industry is still somewhat dependent on foreign investment. The most common products from this sector are motor vehicles, steel, textiles, chemicals and ships.