ESP Spain profile

Spain operates as a constitutional monarchy with a parliamentary system. The state is highly decentralized into autonomous communities with their own parliaments and governments, which creates a complex governance landscape. Tensions persist around regional autonomy, fiscal arrangements, and the distribution of powers, with periodic debates over reform of constitutional provisions and the balance between central authority and regional self-government. Policy making requires negotiation among multiple parties at national and regional levels, which can slow decision making and produce inconsistent implementation. The judiciary and constitutional framework provide checks, yet political fragmentation can complicate stable governance and timely responses to economic or social crises. The administration faces challenges in modernization, bureaucratic efficiency, and public sector reform, especially in delivering uniform services across diverse regions.

Colonial history Former colonial empire, known for extensive territories in the Americas, Africa, and Asia
Former colonizer Spain
Government type Parliamentary constitutional monarchy
Legal system Civil law system
Political stability Generally stable, with occasional political tensions

Spain remains oriented toward services, with tourism and commerce playing large roles, while industry and manufacturing persist in key sectors such as automotive, machinery, and agrifoods. The economy faces structural challenges, including productivity gaps and a dual labor market that affects wage growth and mobility. External demand, financing conditions, and regulatory uncertainty influence investment and growth. Regional disparities in development and access to capital create uneven outcomes, and housing and construction cycles have profound social and economic implications. Energy transition and decarbonization shape future competitiveness, with a push toward renewables and diversification of energy supply, alongside ongoing concerns about energy costs and grid reliability. Public investment and eu funding influence infrastructure and innovation capacity, but governance and project planning can suffer from delays or fragmentation.

Currency name Euro
Economic system Mixed economy
Informal economy presence Present, particularly in certain sectors such as agriculture and services
Key industries Tourism, Automobile manufacturing, Agriculture, Textiles, Pharmaceuticals
Trade orientation Export-oriented, with a strong focus on the European Union

Geographically Spain covers diverse landscapes, from plateaus to mountain ranges and long coastlines, with climate variability across regions. Environmental pressures include water scarcity and drought, soil degradation, and biodiversity loss in sensitive areas. Coastal management and flood risk require coordinated planning, while land use changes and tourism pressure threaten ecosystems. The country has potential for renewable energy development, particularly solar and wind, but grid integration, permitting, and local opposition can affect deployment. Climate adaptation and resilience in urban and rural areas are priorities, as are conservation measures for natural parks and protected areas. Environmental policy faces the challenge of balancing economic activity with conservation across a highly diverse geography.

Bordering countries France, Portugal, Andorra
Climate type Mediterranean
Continent Europe
Environmental Issues Air pollution, Water scarcity, Biodiversity loss, Climate change effects
Landlocked No
Natural Hazards Droughts, Floods, Earthquakes, Wildfires
Natural resources Coal, lignite, iron ore, copper, lead, zinc, uranium, hydropower, and renewable energy sources
Terrain type Mountainous, plains, and coastal areas

Spain faces demographic aging and ongoing migration patterns that shape social services and labor markets. Education and healthcare systems remain central to social cohesion, but regional disparities in outcomes and funding exist. Income inequality and access to affordable housing remain persistent concerns, along with housing market dynamics influenced by demand from urban areas and tourism. Social inclusion efforts focus on integration of immigrants, gender equality, and support for vulnerable groups, while criminal justice and public safety frameworks seek to address crime and social tension. Civic participation and trust in institutions are varied across regions, influencing political engagement and reform acceptance.

Cultural heritage Rich history influenced by various cultures including Roman, Moorish, and regional traditions
Driving side Right
Education system type Public and private education with compulsory education age from 6 to 16
Ethnic composition Predominantly Spanish (Castilian), with regional identities including Catalan, Basque, Galician, and others
Family structure Traditionally family-oriented, with a focus on extended family and social ties
Healthcare model Public healthcare system (NHS-like model) with universal coverage
Major religions Roman Catholicism, Secular/Atheist, Protestantism, Islam
Official languages Spanish

Infrastructure includes a broad network of roads, rail, ports, and airports, with continued emphasis on modernization and capacity expansion. The country has invested in high capacity rail and logistics to support mobility and trade, though network quality and maintenance vary by region. Digital infrastructure expansion seeks to broaden broadband access and improve public services, yet rural areas can lag in connectivity. Innovation ecosystems exist in universities, research centers, and corporate labs, with ongoing development of startups and technology transfer, while public procurement and regulatory frameworks influence efficiency. Energy, transport, and water infrastructure align with decarbonization goals, and smart city initiatives, digitalization of government services, and cybersecurity capacity are ongoing priorities.

Internet censorship level Low to moderate, with some regulations
Tech innovation level Growing, with increasing investment in technology and startups
Transport system type Well-developed public transport including trains, metro systems, and buses

Development indicators

Indicator Year Value Rank 5Y Rank Change
Military expenditure (current US$) 2023 23,699,130,514 17 0
Political Stability and Absence of Violence/Terrorism 2023 0.287 85 +3
Regulatory Quality 2023 0.694 46 +9
Rule of Law 2023 0.823 41 +6
Unemployment, total (% of total labor force) 2023 12.2 7 -4
Birth rate, crude (per 1,000 people) 2023 6.7 194 +1
Death rate, crude (per 1,000 people) 2023 9 54 +4
Exports of goods and services (% of GDP) 2024 37.3 66 -34
GDP per capita (current US$) 2024 35,297 34 -14
GDP per capita, PPP (current international US$) 2024 56,926 32 -7
High-technology exports (current US$) 2023 25,806,027,599 24 -3
Hospital beds (per 1,000 people) 2021 2.94 23 -32
Imports of goods and services (% of GDP) 2024 33 87 -42
Inflation, consumer prices (annual %) 2024 2.77 90 -52
Life expectancy at birth, total (years) 2023 83.9 9 +1
Mortality rate, under-5 (per 1,000 live births) 2023 3.1 149 -5
Net migration 2024 111,674 18 +15
Patent applications, residents 2021 1,308 26 +10
Population, total 2024 48,807,137 32 +2
Poverty headcount ratio at national poverty lines (% of population) 2022 20.2 21 -1
Prevalence of undernourishment (% of population) 2022 2.5 91 +1
Renewable energy consumption (% of total final energy consumption) 2021 19 100 -2
Research and development expenditure (% of GDP) 2022 1.44 23 -7
Foreign direct investment, net inflows (% of GDP) 2024 1.89 58 -55
Current account balance (% of GDP) 2024 3.03 32 -19
Level of water stress: freshwater withdrawal as a proportion of available freshwater resources 2021 43.3 43 +3
Total greenhouse gas emissions excluding LULUCF per capita (t CO2e/capita) 2023 5.9 69 +13
Current health expenditure (% of GDP) 2022 9.74 32 -4
Domestic general government health expenditure per capita, PPP (current international US$) 2022 3,535 29 +4
Physicians (per 1,000 people) 2021 4.48 10 -12
Suicide mortality rate (per 100,000 population) 2021 8.72 67 -16
Individuals using the Internet (% of population) 2023 95.4 18 -10
Control of Corruption 2023 0.629 52 +3
Government Effectiveness 2023 0.752 44 +6
Logistics performance index: Quality of trade and transport-related infrastructure (1=low to 5=high) 2022 3.8 8

Compare Spain to other countries

Demography and Health

Spain's population stands at about 48.8 million in 2024, ranking 32nd globally in size. Life expectancy at birth reaches 83.9 years (2023), one of the highest figures worldwide and a hallmark of strong public health systems. The crude birth rate is 6.7 per 1,000 people (2023), signaling an aging demographic and long-term implications for pension systems, caregiving, and labor supply, while the crude death rate is 9.0 per 1,000 (2023). Under-5 mortality is low at 3.1 per 1,000 live births (2023), reflecting effective child health services and nutrition. Net migration is positive in 2024, at about 111,000 people, contributing to workforce replenishment and demographic balance, though regional disparities persist. Health expenditure remains substantial, at 9.74% of GDP in 2022, with per-capita health spending (PPP) around 3535 international dollars in 2022, indicating a well-resourced health system. Spain has about 4.48 physicians per 1,000 people (2021) and 2.94 hospital beds per 1,000 (2021), signaling strong capacity to deliver care, though regional variation likely exists. Internet adoption is pervasive, with 95.4% of the population online in 2023, enabling telemedicine and digital health services. The poverty rate is 20.2% (2022), and undernourishment affects 2.5% of the population (2022), illustrating ongoing social challenges in a largely affluent economy. Taken together, these demographic and health indicators point to a mature, high-income society with excellent health outcomes, but facing aging and social equity considerations that migration and policy must address.

Economy

Spain's economy is large and diversified, with GDP per capita at about 35,297 US dollars in 2024 and GDP per capita in PPP terms around 56,926 international US dollars in 2024. Inflation runs at 2.77% in 2024, indicating price stability within typical euro-area bounds. The unemployment rate stands at 12.2% in 2023, reflecting ongoing labor-market challenges despite improvements since the pandemic, and suggesting room for structural reforms and job creation, particularly among youth. The economy is open, with exports of goods and services accounting for 37.3% of GDP in 2024 and imports at 33.0% of GDP, highlighting the importance of global trade and integration with international supply chains. The current account balance is a positive 3.03% of GDP in 2024, pointing to a healthy external position and competitiveness in tradable sectors. Spain invests in knowledge and technology, with research and development expenditure at 1.44% of GDP in 2022, high-technology exports totaling about 25.8 billion USD in 2023, and 1,308 resident patent applications in 2021, signaling ongoing productivity improvements. Foreign direct investment net inflows equal 1.89% of GDP in 2024, reflecting sustained but moderate investment from abroad. The governance indicators show a relatively strong institutional framework: regulatory quality 0.694, rule of law 0.823, and government effectiveness 0.752, supporting policy implementation and business confidence. Together, these data portray Spain as a mature, open economy with solid macro fundamentals and a push toward innovation-driven growth, even as labor-market and demographic headwinds merit ongoing attention.

Trade and Investment

Spain demonstrates a robust trade orientation and solid logistics capacity. Exports of goods and services account for 37.3% of GDP in 2024, with imports comprising 33.0% of GDP, indicating a well-integrated economy that participates actively in global value chains. The Logistics Performance Index stands at 3.8 (2022), ranking around 8th in its group, which signals high-quality trade and transport-related infrastructure and efficiency in delivering goods to markets. Foreign direct investment net inflows amount to 1.89% of GDP in 2024, indicating continued international capital interest and potential for productivity-enhancing investments. Spain also shows a notable level of innovation activity, with resident patent applications (1,308 in 2021) and high-technology exports totaling about 25.8 billion USD in 2023. The current account balance remains positive at 3.03% of GDP in 2024, reinforcing the country’s external resilience and capacity to finance investment. Overall, these indicators reflect an open, trade-oriented economy supported by capable logistics and a favorable investment climate, while highlighting opportunities to lift export sophistication and innovation intensity further.

Governance and Institutions

Spain's governance and institutional landscape presents a mix of strengths and vulnerabilities. Political stability and absence of violence/terrorism score 0.287 in 2023, ranking 85th, suggesting periodic political risk and episodic volatility that may affect policy continuity. However, core governance dimensions show robust capacity: regulatory quality stands at 0.694, the rule of law is strong at 0.823, and control of corruption is 0.629, indicating a solid legal framework and comparatively effective anti-corruption efforts. Government effectiveness is 0.752, reflecting a capable public administration with the ability to implement policies and deliver services. Taken together, these indicators point to a governance environment that generally supports a predictable business climate and social stability, even as political dynamics can introduce short-term uncertainty. The combination of strong rule of law and administrative capacity provides a foundation for structural reforms, investment, and long-term development, while ongoing attention to political stability remains important for sustaining policy coherence.

Infrastructure and Technology

Spain has a well-developed infrastructure and a dynamic technology profile. Internet penetration is high, with 95.4% of the population online in 2023, enabling digital services, e-government, and remote work across regions. The country demonstrates strong logistics capability with a Logistics Performance Index of 3.8 (2022), indicating high-quality trade and transport networks and efficient coordination across borders. Healthcare infrastructure includes 4.48 physicians per 1,000 people (2021) and 2.94 hospital beds per 1,000 people (2021), reflecting solid medical capacity. Spain is a growing knowledge economy, evidenced by 1,308 resident patent applications in 2021 and R&D expenditure at 1.44% of GDP in 2022, supporting innovation and competitiveness. High-technology exports total 25.8 billion USD in 2023, underscoring the country’s role in advancing technology-based production. On the energy and environmental front, renewable energy accounts for 19% of total final energy consumption in 2021, illustrating progress toward decarbonization, while water resources face stress, with freshwater withdrawal representing 43.3% of available resources in 2021, highlighting the need for water-management strategies in agriculture and industry. The overall infrastructure and technology profile portrays a modern, interconnected economy with meaningful investments in science, technology, and digitalization, alongside ongoing challenges in energy transition and water resource management.

Environment and Sustainability

Spain's environmental and sustainability profile shows a balance between progress and challenges. Renewable energy accounts for 19% of total final energy consumption in 2021, reflecting substantial strides in decarbonization, yet leaving room for further growth in clean energy deployment. Total greenhouse gas emissions per capita, excluding LULUCF, are about 5.9 t CO2e per year in 2023, placing Spain in the mid-range among developed economies and signaling continued need for emission reductions, efficiency improvements, and technology adoption. Water stress is moderate to high in several regions, with freshwater withdrawal at 43.3% of available resources in 2021, underscoring the importance of sustainable water management, especially in agriculture and tourism-dependent areas. On the social front, undernourishment remains low at 2.5% (2022), and life expectancy remains high, reinforcing the social resilience that supports long-term sustainability goals. Collectively, these indicators show that Spain is actively pursuing environmental improvements and climate action, while navigating regional resource pressures and the ongoing task of expanding renewable capacity and energy efficiency to meet evolving sustainability targets.