The digital economy already amounts to 22.6% of Spain’s GDP

The digital economy cannot be stopped all over the world and Spain, of course, cannot be an exception. Indeed, our country is one of the most advanced countries in information technology and digitization in recent years, although, as with everything, there is still a long way to go. Especially on a business level.

According to the latest report of Spanish Association for the Digital Economy (Adigital), The digital economy has already reached 22.6% of the country’s GDP in 2022. That’s up to four points more than it meant in 2019 and backlog growth of 19%. In the period between 2020 and 2022.

But what is the reason for this success? The key is simple: digital adoption by users and businesses on the one hand, and economic recovery after the Covid-19 pandemic on the other. In fact, it recovered with a variance of 15.9% between 2020 and 2022.

When we talk about the digital economy, This term refers to the use of information technologies in the processes of production of goods and services, as well for marketing and consumption. An expression showing how the industry is able to create new products and services or transform existing products and services, taking advantage of the possibilities of technology.

According to American economist Thomas Meisenburg, The digital economy consists of three main pillars. The combination of these helps societies to progress and the economy in general to modernize and become more competitive. These are e-business, technological resources and e-commerce.

It is estimated that the impact of this economy in Spain is 11.2%, three tenths of what it meant in 2020 and up to 2.2 points for 2019. Very positive numbers, supported by the increasing digitization of SMEs. These small and medium-sized companies represent up to 99.8% of the Spanish business fabric.

The important but challenging role of SMEs

But it’s not all good news. And it is that these do not have the same financial position or facility as the small number of large existing companies. This leads to a slowdown in investment in innovation, digitization, access to credit, and even its expansion into international markets.

This report highlights the importance of “drawing” a roadmap to make Spain a more competitive country in terms of technology, taking advantage of its characteristics and strengths.

It also highlights the burgeoning role of Expand and a unicorn, the main drivers of the digital revolution in the fabric of business. With the effect of clouds based on attracting investors, digital talent, the multiplier effect of entrepreneurship, and the development and use of technological tools.

Digitization is a key factor for economic and social development. Therefore, it is necessary to continue to monitor and measure its impact in order to draw a road map that will allow Spain to advance in this field.