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Business in Madrid

Why Madrid?

A REGION FULL OF POSSIBILITIES An international reference, Madrid is now an open and welcoming region with a robust economy, cutting-edge infrastructure, and a talented and diverse labour market.
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Spain’s economic engine, contributing almost 1 out of every 5 euros of GDP (19.4% in 2023).

A leader in new business creation in 2023.
1 out of every 4 of the national total.
68 new companies were born each day.

2nd region in the EU for technology-related employment.
288,500 professionals in high-tech industries or services (31.8% of the total in Spain).

We received more than half of the Foreign Direct Investment (FDI) in Spain (54.1% in 2023).

More than
just statistics

Predictibility

In Madrid, we believe in freedom and private initiative as the driving force of societal progress; society moves forward when businesses advance.

01

Legal
certainty

When it comes to investing, certainty and clear rules that do not change halfway through are needed. The Community of Madrid provides predictability, confidence, stability, and legal certainty to companies, which are key for investors to feel secure with their investment.

02

Administrative
afility

We promote business activity through various initiatives based on proximity to companies, the removal of bureaucratic obstacles, and the facilitation of their operations, such as the investment accelerator, the open line against overregulation, and Regional Scope Projects.

03

Tax
incentives

20% deduction on the regional portion of the Personal Income Tax (IRPF) for foreign investments.
Fiscal deflation of the regional portion of the IRPF.
One of the lowest corporate tax rates among the main economies of Europe: 25%.

The best talent

The cosmopolitan nature of the region and its strength as a generator of opportunities attract talent from different backgrounds and cultural contexts, forming a diverse and globally adaptable workforce.

04

Qualified professionals

Madrid leads job creation in Spain, accounting for one out of every four jobs in Spain in the last year. Its active population already exceeds 3.6 million people. Of these, more than 260,000 workers are dedicated to the technology sector, representing 32% of the total in Spain.

05

Educational excellence

Home to 19 universities and the most prestigious business centers.
Vocational training on the rise with high labor market relevance.
Mandatory bilingual education in the elementary phase.

06

Competitive
costs

Salary cost in Spain is EUR 24.6/hour, a 20% lower than the EU average (EUR 31.8).

Minimum wage is EUR 1,134 per month (14 payments) and average salary cost is € 2,359.38.

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Physical and digital infrastructure

Madrid stands out on the European stage thanks to its privileged geostrategic location and world-class infrastructure.

Airport
Highway network
Railroad network

07

Geostrategic location

Madrid’s strategic location at the heart of the Iberian Peninsula, its central position in the extensive Spanish transportation network, and its role as a crucial junction connecting Europe, Africa, and Latin America make it an appealing destination for companies, research centres, and international organizations.

08

Key junction in the national transportation network

Madrid serves as the central hub for an extensive and advanced radial land infrastructure system. This includes a comprehensive High-Speed Rail network, spanning over 3,900 km in operation and 2,700 km in planning and development. The road network features more than 17,500 km of high-capacity routes.

09

World class
airport

Adolfo Suárez Madrid-Barajas Airport the fifth busiest airport in Europe. With over 200 direct flights to destinations in more than 70 countries, it facilitates smooth trade and travel, particularly between Europe and Latin America.

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The Community of Madrid has an extensive and high-speed fibre optic network, covering 98.7% of households in the region by mid-2022.

Additionally, with 85% of Spain’s Data Centers, Madrid is positioning itself as an alternative for connectivity and fiber optics in the FLAP-D region, which is currently experiencing high saturation.

Technological hub

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37

Data Centres
in the Madrid
region

154

MW of installed
capacity

705

MW of estimated installed capacity in the
coming years

Life project guarantee

Madrid is not just a place to live but a place to thrive, to enjoy life in all its splendor.

Madrid’s quality of life is an exceptional blend of cultural richness, gastronomic excellence, green spaces, superior healthcare and education, efficient transportation, and a warm and diverse community.

10

Quality public
services

With some of Spain’s best hospitals and universities, Madrid ensures its residents access to excellent healthcare and a wide range of educational opportunities.

11

Safety

Spain is one of the safest countries in the world, with crime rates significantly below the European Union average. Several surveys rank Madrid as the safest capital among the major European countries.

12

The best
leisure

Madrid is a cultural, tourist, and gastronomic powerhouse, blending its rich historical heritage with a diverse and captivating natural environment. Over 17 million travelers visited the Community in 2022, 6 million of whom were international.

Madrid is the top choice for foreign investors.

We take pride in our leadership, while the scale is in the hands of the investors.

Foreign
investment map

13

Investment

Over the past five years, the Madrid region has averaged EUR 18.22 billion in annual gross flows of foreign direct investment (IED), accounting for 62.8% of the total flows received in Spain.

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FDI Inflows

24,401

MILLIONS OF € EACH YEAR (2018-2022)

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FDI inflows

18,220

MILLON OF EUROS EACH YEAR (2019-2023)

155%

of the regional GDP

Globalinvex

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14

Foreign companies

14,025 susidiaries of foreign from 104 countries, with significant contributions from the United Kingdom (14.0%), France (116%), the United States (11.3%), Luxembourg (9.6%), the Netherlands (9.4%), and Germany (8.8%).

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+ 14.000

Companies

+ 100

Countries

+ 524.000

Billion in total revenues

15

Employment

The stock of employment associated with foreign investments in the region reached 569,948 by the end of 2021, making up 18% of the employed population. Contributing to 32% of the country’s employment derived from FDI. 

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FDI Employment

569.948

Workers in FDI-related jobs

18%

of the employed population

 

Contact with Invest In Madrid
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