Balearic economy: 2.4% growth as tourism slows
Mallorca and the rest of the Balearic Islands face 2.4% economic growth in 2026: that puts the islands behind Spain’s forecast of 2.6%. BBVA Research published the figures on Thursday, 15 October 2026. It expects tourism to keep growing, but at a slower pace.
The islands are becoming more expensive for tourists, while high occupancy leaves limited room for the sector to grow. BBVA Research says those pressures, along with the difficulty of extending the tourist season, could curb spending by people who do not live on the islands.
The bank forecasts just 1.9% growth for the Balearic economy in 2027, against 2.1% for Spain. It says tourists could return to competing destinations affected by the war in the Middle East, adding to the limits on growth at home.
Jobs offer a brighter figure for 2026: employment in the Balearics is forecast to grow by 3%, ahead of Spain’s 2.4%. But in 2027, the islands’ employment growth is expected to fall to 1.1%, below Spain’s 2%.
Source: Europa Press / Mallorca.com