According to the latest estimates from the International Monetary Fund (IMF) released this week in Bangkok, Spain is the only major Eurozone economy that has lost productivity since 2018. Its calculation is that Spain will have lost one-tenth of a percentage point in the 2018–2027 period, which coincides with Pedro Sánchez’s term in government. Productivity is the key indicator for increasing a country’s GDP per capita, raising wages without losing competitiveness, and—equally crucial—ensuring the sustainability of the pension system. It is striking that Spain shows a decline after being allocated more than €100 billion in European funds since 2021, theoretically earmarked to transform the national economy and boost its productivity.
The IMF believes that productivity recorded a 1.4% drop in 2025, for instance, at a time when economic growth and European funds would theoretically have led to expectations of a strong improvement. Positive growth this year and next will not prevent the average since 2018, according to the IMF, from remaining negative.
In contrast, Germany, despite its troubles during this period, has improved its productivity by 1%, while the Eurozone average rose by half a point. France and Italy also recorded increases of 0.3% and 0.2%—which, though modest, remain in positive territory.
Where Spain does surpass other major Eurozone economies in the IMF’s forecasts is in the rise of unit labor costs. Since 2018, they have increased by 3.1%, exceeding the Eurozone and German averages of 3% and doubling the pace of France and Italy.
