Balearic Islands tourism spending hits record highs amid rising inflation

Economic reports from the Balearic Islands indicate a complex trend regarding tourism and cost of living. In Ibiza and Formentera, June saw a record daily tourist expenditure of 249.51 euros, a 7.7% increase. However, this occurred alongside a 4.75% decrease in the number of tourists compared to the previous year.

The CAEB (Confederación de Empresarios de la Comunidad Valenciana) warns that this nominal increase in spending may not represent real economic value creation, as it may simply reflect high inflation. In June, service inflation reached 4.1%, while hospitality and catering inflation rose by 7.6%.

In Mallorca, consumer costs have also risen significantly, with prices increasing by 15.3% over the last year. This has led to exorbitant prices for basic foodstuffs, such as fresh fruit, placing a heavy burden on local residents.