The Regional Ministry of Economy, Finance and Innovation publishes the first Economic Moment, which will be updated monthly based on the analysis of seven variables.
For the first time, the number of affiliated workers exceeded half a million in March, and year-on-year tourist spending in February increased by 40.9%.
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Economic activity in the Balearic Islands
Economic activity in the Balearic Islands maintained its dynamism in the first three months of 2024. This can be seen from the data released by the Directorate General of Economy and Statistics in the Economic Moment, an educational and interactive report that will be published and updated every month and which will analyse the Balearic economy based on seven variables: the Gross Domestic Product (GDP), the situation of tourism, construction, the labour market, the service sector, industry and the evolution of the Consumer Price Index (CPI).
In terms of GDP, the latest figures available are those published on 21 March by the Minister of Economy, Finance and Innovation, Antoni Costa, and the Director General of Economy and Statistics, Catalina Barceló: growth of 3.7% throughout 2023, and 2.3% if we look only at the last quarter.
Updated data from the tourism sector show that the number of tourists visiting the Balearic Islands in February was 19.9% higher than in 2023. This translated into 336.3 million euros in tourist spending in this month alone, 40.9% more than the previous year, and with an average stay of 6.4 days.
On the other hand, for the first time, for March, more than half a million people were enrolled in the labour market. And although all sectors (agriculture, industry, construction and services) recorded advances, the services sector is the one with the highest growth, with 5.2% year-on-year. Continuing with the services sector, it recorded a strong rise in turnover in February, with an increase of 11.3% year-on-year, while in Spain it was 5.4%. It should be noted that activities linked to tourism, especially hotels and catering, were the ones with the most significant increase.
Industry and construction
Concerning the industrial sector, production activity decreased in February, although the sector’s turnover increased. The industrial production index fell by 4.3% year-on-year, but the value of the turnover of companies in the sector has now been rising strongly for four months, with an increase of 15.1% in February. For its part, residential construction was reactivated in the first quarter: 18.5% more projects were approved, with an increase in the Pitiüses of 104.3%. In total, 807 housing projects were approved, compared to 681 in the first quarter of 2023.
Finally, the CPI rose in March, influenced by the increase in electricity prices and the rise in VAT on electricity, and stood at 3.2%, both in the Balearic Islands and at the national level. Even so, food prices moderated and registered the lowest value in the last 28 months (4.6%).
The Economic Moment publication can be consulted at the following link: https://tn.caib.es/momenteconomic