Despite a strong employment rate in Spain, rising inflation and a high cost of living are causing challenges for many citizens. Carlos Moreno, known as the “Watermelon King,” gained fame for offering affordable groceries at his supermarket, La Trastienda, during a period of high inflation in 2020. Nearly two years later, Spaniards continue to struggle with the cost of living, with many feeling that their earnings are not enough to meet their needs. While the country’s economy is growing quickly, individual economic circumstances remain difficult for many, with high prices making everyday expenses a burden.
Although Spain currently has its lowest unemployment rate in 16 years, with over 21 million people employed, concerns about the economy persist among citizens. While most Spaniards view the overall economic situation positively, the high cost of living remains a primary worry. This disconnect between Spain’s economic progress and individual financial struggles can be attributed to geopolitical uncertainty, such as the effects of the pandemic, supply chain disruptions, and the war in Ukraine. These factors, along with upcoming European elections, contribute to a sense of economic instability among Spaniards.
Despite the positive employment figures, inflation continues to impact the daily lives of many Spaniards. As of May 2024, Spain’s inflation rate stands at around 3.6%, a decrease from previous highs but still significant enough to affect purchasing power. Wages in Spain had been moderated in an effort to control inflation, but this has led to a perception of reduced purchasing power among citizens. Despite being a top concern for voters, the economy has not been a prominent issue in the European Parliament campaign in Spain, with political parties focusing on other matters such as granting amnesty to Catalan leaders and corruption allegations against the prime minister’s wife.
Jorge Galindo, deputy director of the Center for Economic Policy at ESADE Business School, notes the importance of addressing economic concerns more openly in political discussions. While the economy has been a topic of conversation among families and in social settings, it has not received significant attention in political campaigns. Galindo suggests that the political class should consider bringing economic issues more prominently into public discourse and offer concrete proposals to address the challenges faced by citizens.
In conclusion, despite positive indicators such as low unemployment rates, Spain continues to grapple with economic challenges like rising inflation and a high cost of living. The disconnect between the country’s economic growth and individual financial struggles highlights the need for a more comprehensive approach to addressing citizens’ concerns. As political parties focus on other issues in the European Parliament campaign, there is a call for greater attention to be paid to the economy and the practical implications it has on people’s daily lives. By acknowledging and addressing these economic challenges, policymakers can work towards creating a more stable and sustainable future for all Spaniards.
