Spain's distinctive approach to migration has significantly bolstered its economy over the past two decades. Migrants, who constituted less than 2% of Spain's population in 1998, now make up more than 15%. This influx has played a vital role in the nation's economic expansion, which saw a growth rate of 3.2% last year. The Spanish government's strategy has centered on integration and maximizing economic benefits from migration, setting it apart from other European countries like Germany, Italy, and France.
In 2022, Spain experienced the highest net migration in a decade, with nearly three-quarters of a million individuals entering the country. This surge in migration has nearly doubled Spain's working-age population compared to other Western European nations. With one of the lowest birthrates in the EU, migration has become an essential mechanism for economic growth and maintaining the welfare state.
The contribution of migrants to Spain's economy is profound. They filled approximately 409,000 of the 468,000 jobs created last year, illustrating their significant role in job creation. The tourism sector, too, witnessed remarkable gains, as a record 94 million tourists visited Spain, marking a 10% increase from the previous year. This boom in tourism led to substantial job creation in hotels, restaurants, and other services catering to tourists.
"One remarkable facet of Spain’s recent performance has been the role of immigration," – economists at JPMorgan.
The economic contributions of migrants extend beyond job creation. Immigration accounted for over 20% of the near 3% GDP per capita income growth during the period from 2022 to 2024. Studies have long highlighted the positive effects of migration on productivity and income per capita.
“What is clear is that migration makes a positive contribution to the economy, provided that it is well managed.” – Jean-Christophe Dumont.
Spain's government has recognized these benefits and is investing in further integration efforts. These include helping migrants navigate the labor market and simplifying residency application processes. This focus on integration contrasts with approaches seen in other European nations and underscores Spain's commitment to managing migration effectively.
Syrian doctors exemplify the positive impact of well-managed migration. Over 5,000 Syrian doctors are fully employed in Spain, alleviating potential shortages in medical services. A reversal in this trend could lead to "critical shortages" in healthcare provision.
“Spain needs to choose between being an open and prosperous country or a closed-off, poor country,” – Pedro Sánchez.
Spain's proactive approach is rooted in a long-term vision where migration is seen as an opportunity rather than a challenge. As OECD countries face declining populations and lower birthrates, the role of migration in sustaining economic vitality will become increasingly pivotal.
“Migrants contribute more in income tax and social contributions than they receive in individual benefits in all OECD countries” – Jean-Christophe Dumont.
Economists have noted that if a country can effectively combine migration with integration efforts, the economic advantages are substantial. The Spanish economy's robust performance underscores this potential.
“If you get this combination, it’s hard to beat,” – Javier Díaz-Giménez.