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EF: When you were appointed, what mission did you set for yourself, and moving forward, what are the key priorities on your agenda?
EG: Amidst the challenges posed by the pandemic and factors like Brexit, we've actively worked on revitalizing Spain's economy and reshaping our market. The focus is on recovery and transforming our productive base, especially towards a green and sustainable economy and digitalization. Recognizing the significance of the life science sector, we've adopted a global approach. This involves creating a favorable business climate to attract new investments while establishing an aftercare department two years ago. The aftercare department aims to support companies already in Spain, ensuring their success despite uncertainties like the recent European geo-political situations and financial instability. Our commitment remains resolute in fostering growth and stability in these dynamic times.
EF: How can you explain that a euro invested in Spain is better than one invested elsewhere?
EG: Spain's economic trajectory amidst uncertainties is notably positive. Currently, we stand as the 4th largest economy in the European Union by GDP, showcasing substantial growth potential. Recent statistics from our National Institute reveal a 2.5% growth rate in 2023, and according to the IMF World Economic Outlook, Spain is projected to have the fastest growth among larger developed economies in 2024.
Our business-friendly climate, surpassing many European countries, attracts foreign investment. According to the FDIC regulatory restrictiveness index, Spain ranks 9th globally for the fewest regulatory restrictions on foreign investment. This openness has positioned us as the 13th largest destination for foreign investment, with the last decade witnessing remarkable growth in foreign direct investment.
In 2023, Spain ranked 5th globally in Greenfield projects, with almost 800 projects and an investment volume exceeding 33,500 million U.S. dollars. The health sector, too, reflects this positive trend, with foreign direct investment reaching approximately 1,500 million EUR in 2023 and providing employment for nearly 4,000 people. This thriving landscape underscores Spain's appeal to investors worldwide.
EF: What is the strategic importance of life sciences, and what role can health play in the economy in the future?
EG: The health sector is incredibly dynamic in our market, thanks partly to foreign companies establishing themselves here. This open and international sector contributes to a highly productive manufacturing sector focused on exports. Spain boasts 173 pharmaceutical manufacturing facilities, with 103 dedicated to human medicines, including 11 biological products. Furthermore, 46 facilities produce active ingredients, while 24 focus on animal medicines. This robust activity significantly impacts Spain's economy, generating over 36,000 highly qualified jobs. Moreover, substantial investments in research and development (R&D) are made annually to support ongoing research efforts. Approximately 1000 million euros are invested yearly in the sector, underscoring the importance and continuous growth of this ecosystem.
EF: What advice would you give on earning investors' trust? How do you build trust and show that Spain is a trustworthy investment country?
EG: Ensuring certainty is crucial in our efforts to attract investments to Spain. We've established a robust aftercare department and maintained close ties with companies already operating here. Our advocacy strategy is strong, fostering a competitive environment. We collaborate closely with governmental departments to continually enhance the business climate and market strengths. An integral part of this strategy is our annual issue of the Barometer of the Business Climate in Spain. Through this document, we gather insights from foreign investors on the strengths and weaknesses of our business climate. This is a vital tool, shaping our dialogue and actions with regional and central administration departments in the months ahead. Our commitment lies in maintaining a favorable environment for businesses and facilitating ongoing improvements based on direct feedback.
EF: What advice would you give to an investor looking to invest in the life science sector in Spain?
EG: I have two pieces of advice closely linked: Firstly, for an effective business setup in Spain, companies should understand the ecosystem, recognizing the strengths of the pharmaceutical and life science industry. It's a mature sector, and success lies in leveraging its opportunities.
Secondly, Invest in Spain is your partner in navigating this ecosystem. We're here to collaborate closely, ensuring your project thrives in our market. As mentioned in a recent roundtable on biotechnology and research, Spain is not just a place to be but also a place to stay. Our market's strength allows investors to develop a long-term strategy, recognizing that success may take time, but once established, your business will flourish here.
EF: How do you promote and create collaboration between the different stakeholders actively promoting these businesses in Spain smoothly?
EG: Our early collaboration is the key to our success at Invest in Spain. We're not a financing institution; we serve as a one-stop shop, connecting investors with the various elements of the Spanish administration. We link to different ecosystem parts, working closely with regions, municipalities, and other administration levels. Our coordinated approach ensures that investors receive comprehensive information needed for their projects. We've built a robust partnership with Spanish regions, providing valuable coordination that enhances the value of our proposals. This collaborative effort is instrumental in companies establishing their business here, as it streamlines the process and adds value to their endeavors.
