The Ibizan economy, after suffering the sharpest drop in its Gross Domestic Product (GDP) during the health crisis generated by covid in 2020, is set to grow 15.6% this year compared to the 11.1% Balearic average, according to the annual report by the Economic and Social Center (CES) of the Balearic Islands. This is a replay of what occured after the crisis that hit in 2008 when the island’s economy recovered at a much faster pace than the rest of the Autonomous Community.

The last report by the Confederation of Business Associations of the Balearic Islands (CAEB) at the end of September already announced the positive path to recovery. According to its study, Ibiza’s economy closed the second quarter of the year with a year-on-year growth of 21.2%, six percentage points more than in the first quarter, when it stood at 15.2%.

Ibiza’s economy accelerates

Now free of health restrictions and boosted at the beginning of the year by good tourism prospects and then by an unprecedented arrival of tourists, the Pitiusa economy has accelerated again. For example, the car rental companies fleets were reassembled after two seasons without purchasing vehicles and without reinforcing fleets. The sector was aging and needed new cars, which it tried to renew, sensing that the summer of 2022 would be exceptional. The manufacturers, once again this year, were unable to meet the accumulated demand. The lack of stock was a hindrance to this improvement, but also for car dealers: “We are convinced that if we had more cars available we would be at 2019 or 2020 sales levels. We haven’t reached those figures because of the lack of availability,” summarized José Antonio Colomar, president of the Business Association of Automotive Dealers or Distributors of Ibiza and Formentera (AECA)

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