Francisco Albertí­

How does KPMG support the dynamization of the main economic sectors of the island of Mallorca?

This is the 50-year anniversary of KPMG’s presence in Spain and KPMG has been in the Balearic Islands for the last 30 years. Our main purpose has been to support the economic development of the islands and, in doing so, we have evolved as a company. Most of the services we have offered traditionally have been in the auditing area, which is one of the main businesses of a Big Four. However, for the past few years we have sought to give more relevance to other divisions through other professional services such as strategic consultancy, transformation and innovation. Additionally, KPMG Baleares has been providing tax and legal services over the last years. It has all been part of a strategy to boost the presence of KMPG on the islands with more local team and specialized professionals in the main economic sectors. One of this is sectors is tourism, which accounts for 35% of the GDP of the Balearic Islands and up to 70% of the economy indirectly. However, there are other important sectors such as the energy industry. There are some leading companies in the energy sector in Mallorca, as well as manufacturing companies that we are happy to have among our clients.

Which sectors can be best positioned as more attractive for foreign investment on the island of Mallorca?

At a global level, the pandemic has become a turning point. It has had the positive effect of showing that society is flexible and resilient to change. This new world is opening the opportunity for tourism destinations to offer the possibility of showing a huge demand of foreigners who would be interested in spending long periods in these places. People can spend two months in a hotel or in an apartment working. They spend more time in a tourist destination, which opens an opportunity for built-to-rent buildings. This, at the same time, brings an opportunity to Baleares to revamp old hotels into apartment buildings to rent for long or short stays for people who want to spend their time on the island. We have seen a lot of interest in Mallorca from US citizens, as well as from Asia and the Middle East. Other sectors are drawing a lot of attention, as it is the case of the audiovisual industry. A British TV series being aired in international channels was shot in Mallorca. Audiovisual productions have a great spillover effect over the economy, bringing more jobs and helping diversify the economy away from tourism.

To what extent can European funds lead to a remodelling of the island’s economic model, and what role can KPMG play in it?

The EU recovery funds represent a huge opportunity to invest in Mallorca. Spain will receive EUR140 billion from the EU, and half of that amount is a direct investment, while the other half is provided via loans. The funds will be focused on strategic areas, such as sustainable mobility. We see opportunities for investment in infrastructures for mobility in the Balearic Islands. KPMG is positioned as a strategic partner to help investors navigate their investment journey in the Balearic Islands, first, because of our capacity of analysis and market knowledge to provide consultancy services. KPMG Baleares assists local governments in the process of accessing the European funds. We are in constant touch with the ministries involved and already supporting organizations to access EU funds. The EU has already approved the plan presented by Spain. As for companies, we can support them in identifying the funds that they can apply for and make them eligible for them. KPMG has a wide experience in many relevant areas, including sustainability, innovation, education and digitalization, which are strategic pillars of the EU funds.