Investing in Catalonia : Bricks, Bolts and Highways

Abstract

The recently announced departure of several multinational companies from Catalonia has opened a frank debate about our ability to compete and where our competitive advantages and future potential might lie. Historical and cultural factors make Catalonia and Spain difficult markets to invest in, in terms of legal security, educational levels, especially in science, and commercial structure, in which a high level of protectionism is in place because of banksindustrial holdings and political clientelism. Poor telecommunications infrastructure is the most obvious example of these failings, and a strong disincentive for technology companies to invest here. A rentier mindset is prevalent rather than a pro-active, risk-taking approach.