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"The Spanish Paradox"

2026-05-28 17:37:38Kosova&Bota SHKRUAR NGA REDAKSIA VOX

"The Spanish Paradox"

On the one hand, Spain is recording economic growth rates higher than the European Union average, to the point of surpassing even Europe's traditionally stronger economies. On the other hand, the country is facing great political fragility, which has worsened in recent weeks due to several court cases, creating a stark contrast to the economic dynamism.

This is the "Spanish paradox".

To understand this, we must start from the macroeconomic indicators, which are very positive. The Spanish economy has recorded GDP growth of over 2.5% for several years, with cases reaching up to 3.5%.

Forecasts for 2026 call for growth of 2.4%, while Italy is expected to grow by 0.5%, Germany by 0.6% and France by 0.8%. This puts Spain far behind the period when it was considered one of the weakest countries in the Eurozone.

Economic growth has been supported mainly by tourism, with a record 96.8 million foreign visitors last year, as well as exports, services and investments linked to  Next Generation EU funds . Investment in renewable energy has also played an important role: Prime Minister Pedro Sánchez has presented a plan of over 9 billion euros for the energy transition, resulting in lower electricity prices for Spanish citizens, among the lowest in Europe.

During Sánchez's 8 years in office, several important social reforms have also been achieved, such as the inclusion of the right to abortion in the Constitution and the extension of parental leave to 19 weeks for both parents. The minimum wage has almost doubled since 2018, reaching 1,221 euros gross. However, unemployment remains high, around 11%, although it has decreased significantly compared to the pandemic period.

Despite the economic results, Sánchez's popularity is falling, amid scandals involving senior figures in the Socialist Party and even members of his family. According to polls, 57% of Spaniards disapprove of his performance. In regional elections in recent months, his party has suffered several significant losses, including in historically socialist regions such as Andalusia, where the result was among the weakest since the fall of Franco.

This shows that economic growth does not necessarily guarantee political stability, especially in a situation where the governing majority is fragile and depends on complicated alliances with regional Catalan and Basque parties. These parties support the government mainly to prevent the far-right Vox from coming to power. However, polls suggest that in the next elections the right could emerge victorious and form a majority with Vox.

In the international arena, Sánchez has been presented as a progressive figure and a critical voice against the far right and some global policies, but domestically he faces strong criticism for the political balances he has made to stay in power.

One of the biggest problems remains the housing crisis: rent and housing prices have increased significantly, especially in large cities, particularly affecting young people. Between 2015 and 2023, housing prices increased by about 18.7%, while government policies to address this crisis have so far not yielded sufficient results.

In this way, Spain presents a clear contrast between economic success and deep political and social tension.


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