Spain was the fifth largest recipient of financial services foreign direct investment (FDI) projects in 2024 in Europe, according to EY's latest financial services attractiveness survey. FDI actually grew by 29% with regard to total new projects and existing projects expanded from 17 in 2023 to 24 in 2024.

The attraction of new projects contributed to Spain's fifth place in the ranking. Our country did therefore attract 21 new FDI projects in financial services in 2024, compared to 14 in 2023. Spain is in fourth place in the total for the last decade, as can be seen in the graph.

This upward trend contrasts with an 11% reduction in the total number of new and expanded projects on the continent, with 293 in 2024 compared to 329 in 2023. The number of new projects in Europe grew marginally, from 233 in 2023 to 234 in 2024, as the number of new projects in most major markets decreased.

Above Spain, in terms of total projects, the United Kingdom remains in first place, despite a 32% drop. Germany, in second place, also recorded a decrease of 16%, and France, in third place, fell by 23%. All three also recorded falls in the attraction of new projects. Switzerland, which climbed to fourth place, was one of four countries, along with Spain, Italy and Luxembourg, that recorded growth in attracting new investment in financial services.

Favourable context
EY Global Financial Services Leader Omar Ali commented, "While geopolitical and macroeconomic uncertainty has affected investor and business confidence over the past year, cross-border investment remains key for global financial services firms in their quest for growth and competitive advantage. Indeed, global investors remain committed to Europe's deep capital markets and highly skilled labour force."

He explained that while investment decreased both overall and in the region's major markets in 2024, "several financial centres bucked this trend. Switzerland, Spain, Italy and Luxembourg saw an increase in foreign investment, partly due to the progressive policy environment and the specialised industry expertise they offer."

Data on new FDI projects help companies to assess a country's investment dynamism and its ability to attract new investors. EY's attractiveness surveys do in turn analyse the attractiveness of countries as investment destinations. They are designed to help businesses make investment decisions and governments remove barriers to growth.

^{Photo: EY}