BBVA Research – Spain Economic Outlook, Mar 2025

The main theme of the report concerns the economic forecast for Spain in 2025.

Key findings include: GDP growth is expected to remain high in the first quarter of 2025. Economic recovery will continue in 2025 and 2026, although some slowdown is expected. The depreciation of the euro against the dollar may increase sales of goods and services abroad. A large share of renewable energy sources contributes to lower wholesale market prices. Improved competitiveness will benefit the services and industrial sectors. Lower interest rates will support the recovery of investments. Spain's labor market shows greater growth potential. Expenditure on intangible assets continues to outpace all other components of investment. The economy is close to reaching the GDP level that would have been achieved if the growth trend observed before the pandemic had continued.