Menorca continues to stand out within the Balearic Islands thanks to a more balanced and resilient economic model with a lower dependence on tourism. This is highlighted in the Economic Outlook Report, presented on Wednesday by representatives of the Balearic Government and the Island Council of Menorca, which emphasises the strength of the industrial sector and the innovative capacity of local businesses.
During the presentation, the First Vice President of the Balearic Government and Minister for Economy, Finance and Innovation, Antoni Costa, stressed that Menorca shows a higher level of economic diversification than the other islands. While the service sector accounts for 80% of economic activity, industry maintains a significant share of 8.6%, particularly in traditional sectors such as footwear, food production, carpentry and costume jewellery, alongside a still-active primary sector.
According to Costa, this economic structure helps reduce dependence on seasonal tourism, increases resilience to tourism-related crises and contributes to more stable employment levels due to the relatively stronger presence of industrial jobs. It also supports a more diversified business fabric with greater export and innovation potential.
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Menorca strengthens its distinctive economic model based on diversification and resilience
The report includes a twenty-year structural analysis carried out by the Directorate General for Economy and Statistics, confirming that Menorca has experienced a less intense shift towards services than the rest of the Balearic Islands. While services represent 87% of the Balearic economy overall, they account for 80% in Menorca, reflecting a more balanced sectoral distribution.
Catalina Barceló, Director General for Economy and Statistics, explained that Menorca’s real Gross Value Added has reached €1.261 billion, the highest level since 2008, driven mainly by the post-pandemic recovery of the service sector. However, she also noted a decline in the number of industrial companies and industrial employment since 2012.
The report further points out that population growth in Menorca has been more moderate than in the Balearic Islands as a whole, Spain and the European Union. This trend is linked to the island’s diversified economic base and has enabled a more manageable adaptation to pressures on infrastructure, labour markets and the environment.
The President of the Island Council of Menorca, Adolfo Vilafranca, highlighted that this balanced economic structure provides a solid foundation for sustainable development. He reaffirmed the Council’s commitment to promoting diversification through policies that enhance productivity, innovation, training and local talent, as well as through financial support schemes aimed at strengthening the island’s productive sectors.