Spain extends FDI transitional regime for EU & EFTA investors until 2026

Spain has extended its transitional Foreign Direct Investment (FDI) regime for EU and EFTA investors until the end of 2026. Initially introduced in response to the economic impact of the Covid-19 pandemic, the regime requires EU/EFTA residents to obtain prior administrative authorization for certain investments. These include investments in listed companies or those exceeding EUR 500 million. Although the last extension was set to end in 2024, it has been further extended by the Spanish government via the Royal Decree-Law 1/2025. This development requires EU/EFTA investors to continue monitoring their operations in Spain for potential FDI screening when these are made in strategic sectors that could affect public order, public safety, or public health and the specified thresholds are met.

For more details, read the full article here.

If you need more information or further guidance in this area, please contact Candela Sotés.

VISIT OUR FOREIGN DIRECT INVESTMENT (FDI) WEBPAGE

VISIT OUR COMPETITION LAW HOMEPAGE