The tourism sector is once again the main engine of the Balearic economy. Tourist spending continues to grow at a solid pace and has reached €23.106bn up to November, representing a 4.7% year-on-year increase, according to the January edition of El Momento Económico de las Illes Balears. Average spending per tourist stands at €1,231 (+2.9%), while daily spending per person has risen to €198, with an even stronger increase of 5.5%.
This rise in spending contrasts with a much more moderate trend in the number of visitors, which increases by 1.8%. Up to November, the islands welcomed 15.5 million international tourists (+2.6%) and 3.3 million domestic tourists, down 1.7%. The report also highlights a growing diversification of source markets, against a backdrop of declines in the main traditional markets: Germany is down 1.8% (4.8 million visitors) and the United Kingdom down 0.6% (3.5 million).
Meanwhile, air passenger traffic has hit another record, with 22.8 million travellers up to November, a 1.3% year-on-year increase.
Record business dynamism
Beyond tourism, the Balearic economy is showing clear signs of strength. Business dynamism is at historic highs, with more than 4,300 companies incorporated up to November, 6.1% more than in the same period a year earlier. Foreign investment, although it has fallen by 5.3% up to September, has managed to slow its downward trend and lessen its negative impact on overall economic activity.
Services still growing, with sharp contrasts
Turnover in the services sector continues to rise and has reached a new peak, although it has halved its growth rate in just two months. The annual rate stands at +4.7%, slightly above the Spanish average (+4.4%). The standout is a strong rebound in transport, up 12.5%, while hospitality grows by just 0.5% and professional activities by 6.5%. Administrative activities and information and communications remain in negative territory.
Construction consolidates its momentum
The report points to the continuation of strong momentum in construction. The number of homes granted planning approval reaches 4,266, the highest level since 2008, with a 13.8% year-on-year rise up to November and cumulative growth of 29.0%. The high volume of approved building projects suggests this momentum will continue in the coming months.
Industry and employment remain positive
In industry, output remains in positive territory thanks to the strong performance of energy and capital goods. By contrast, there is a marked decline in consumer and intermediate goods. Even so, annual industrial production growth in the Balearics stands at +4.0%, well above the national figure (+1.1%).
The labour market continues to show strength. Social security affiliation rises by 2.7% in December, driven by services (+2.8%) and construction (+2.6%). Total affiliation reaches 488,310 workers at the end of 2025. The primary sector also posts a notable increase (+2.3%), while industry advances by 1.6%.
Inflation above the national average
Average inflation in 2025 stands at 3.1% in the Balearics, above the national average (2.7%). Housing, restaurants and hotels are the groups that put the greatest upward pressure on prices in 2025. Core inflation remains persistent, with an underlying rate of 2.9%, six-tenths above the national figure (2.3%), confirming that inflationary pressures remain very present in the Balearic economy.
Leave A Comment