- 1Spain: An attractive country for investment
- 2Setting up a business in Spain
- 3 Tax System
- 4 Investment aid and incentives in Spain
- 5 Labor and social security regulations
- 6 Intellectual property law
- 7Legal framework and tax implications of e-commerce in Spain
- AI Annex I Company and Commercial Law
- AIIAnnex II The Spanish financial system
- AIIIAnnex IIIAccounting and audit issues
- The country, its people and quality of life
- Spain and the European Union
- Economic structure
- Domestic Market
- Foreign trade and investment
- Legislation on foreign investment and exchange control
- Obligations in relation to anti-money laundering and counter-terrorism financing
5. Economic structure
The structure of the Spanish economy is that of a developed country, with the services sector being the main contributor to GDP, followed by industry. These two sectors represent almost 91% of Spain’s GDP with agriculture’s share today representing a 2.92% of GDP, having declined sharply as a result of the country’s economic growth (see Table 4).
Table 4STRUCTURE OF GDP (% OF TOTAL, CURRENT PRICES)
|Agriculture and fishery||3.09%||3.09%||2.92%|
The Spanish economy continued throughout 2019 to reflect the growth trend which began in the second half of 2013. During the fourth quarter of 2019, the GDP grew at a quarter-on-quarter rate of 0.4%13. Thus, the year-on-year growth of the GDP amounted to 1.8%, which is higher than the growth rate recorded for the Eurozone as a whole in 2019.
Moreover, inflation in Spain has been falling slowly since the end of the 1980s. Average inflation between 1987 and 1992 was 5.8%; it dropped below 5% for the first time in 1993, and it has been shrinking gradually since then. The year-on-year inflation rate at December 2019 was 0.8%, due mainly to the increase in fuel prices and, albeit to a lesser degree, to the rise in air transport prices, well as to the drop in electricity prices.
Table 5GROWTH FOR OECD COUNTRIES (PERCENTAGES)
Real GDP Growth
|Total Euro Zone||2.7||1.9||1.2|
13National Institute of Statistics, Quarterly National Accounts of Spain. Principal Aggregates. Fourth Quarter of 2019.