Over 70% of foreign direct investment in Spain is concentrated in the Madrid region, which offers major advantages for companies | View the Program Summary in PDF
With the goal of facilitating the establishment and growth of foreign companies in the region, the Community of Madrid has an economic promotion and investment attraction office known as Invest in Madrid.
The final day of the Líderes 2025 Program began with a visit to the headquarters of this agency, where participants met with Diego de Arístegui, Director of Investments, and Kuka Jiménez, Director of Marketing and Communication.
During his remarks, Diego de Arístegui highlighted Madrid’s economic leadership within Spain. He emphasized that the region is the country’s main economic engine, responsible for a significant share of the national GDP and home to the headquarters of most major companies, both Spanish and international.
“We have established five priority markets, which are usually the main investors in Spain: the United States, the United Kingdom, France, Germany, and Mexico,” he explained.
Back in 2010, the Community of Madrid matched Catalonia’s GDP for the first time. At that time, Catalonia received 60% of foreign direct investment (FDI), while Madrid received around 40%. “Today, almost 70% of all FDI entering Spain is concentrated in Madrid.”
As key strengths to attract potential investors, Invest in Madrid highlights that the region combines a solid, stable, and growing economy with an open and competitive business environment. “Not everyone knows,” said Diego de Arístegui, “that Spain is the fourth country in the world receiving the most investment in greenfield projects. The largest market is the United States, followed by China, then the United Kingdom, and finally Spain.” This makes the country the leading recipient of such investments within the European Union since the United Kingdom’s departure.
Another reason Madrid stands out compared to other Spanish regions is its tax environment: the Community of Madrid is the only region with no regional taxes. It is also the only one where the self-employed do not have to pay taxes during their first two years.
Among the key factors that make Madrid a preferred destination for foreign investment are its human talent and educational system. Madrid is home to 19 universities—six public and thirteen private—and four of the top ten business schools in Europe are located in the capital. Moreover, 50% of the active population in the Madrid region holds a university degree, compared with an average of 35.5% in the European Union.
Therefore, Madrid offers a highly qualified workforce that, compared to its competitors (Paris, London, Geneva, Munich, the Netherlands…), is extremely cost-competitive. Additionally, 26% of Spain’s R&D spending takes place in Madrid, and all major innovation institutions—both public and private—are located in the region.
In the tourism sector, Madrid is experiencing high demand for luxury accommodation and needs more five-star hotels to meet it. “Today, Madrid is the third luxury tourism destination in Europe, only behind Paris and Milan,” and it is also the second European city with the highest number of musical performances, after London.
Finally, during this meeting, the participants identified the key investment sectors offering the greatest opportunities in Madrid. These include technology and digitalization, with the expansion of data centers and tech companies; sustainable energy and the ecological transition; biotechnology and health; tourism and culture; and construction and infrastructure, with major projects such as Madrid Nuevo Norte, which the Líderes participants would visit later.
Meeting attendees:
Diego de Arístegui, Director of Investments, Invest in Madrid
Kuka Jiménez, Director of Marketing and Communication, Invest in Madrid
Jana Palazuelos, Communications Manager