The Economist named Spain the best economy in the OECD in 2024

GDP

Mediterranean countries report the most optimistic data for the third year in a row, with Spain topping the list. Greece and Italy continue their economic recovery trend, followed by Ireland and Denmark.

The most “disappointing” data comes from Northern Europe, led by the UK and Germany. Latvia and Estonia once again occupy last place in this ranking.

In the case of Spain, "The Economist" reminds that the annual growth of its GDP is expected to exceed 3%, which is influenced by: "a strong labor market" and "a high level of immigration".

Unemployment

Unlike North American countries, Europe, and especially countries in the south of the continent, have reached historic lows in unemployment. In Greece, Italy and Spain, the rate fell to its lowest level in over a decade. Spain closed November with 2,586,018 unemployed, the lowest figure for the month since 2007.

Stock market

Another indicator on the basis of which the magazine prepares the classification is the situation on the stock exchange. In Spain, the IBEX 35 index closed last Tuesday above 11,900 points, recording a positive annual volatility of almost 17%.

Inflation

Another important indicator used by The Economist is core inflation, which does not include energy and food prices. If we look at the November data for Spain, INE (Spanish Central Statistical Office) estimates its level at 2.4%, which means a decrease in the annual rate by 0.1.

Fiscal balance

However, fiscal pressure in Spain decreased for the third year in a row in 2023 and did so more significantly than the average in OECD countries.

The relationship between the weight of taxes and social security contributions and the size of the Spanish economy decreased by 0.3 compared to a decrease of 0.1 in the case of the most developed economies.

Summary

All this data is grist for the Spanish government, which does not enjoy special respect among Spaniards. 

For us, this data is important primarily because our clients who decide to invest in Spain can do so with peace of mind. They know that their money is safe because they entrust it to a stable, intensively developing economy. 

[source: RTVE.es, the full article in Spanish can be read THERE]