On the economy, Planas says that it is beginning to recover from the pandemic. "We are the region which has suffered the most. We thought that we would fully recover during 2022 and 2023, but with everything that is happening - the war, skyrocketing inflation, rising fuel and supply prices - I don't think full recovery will come before 2024."
Economic crisis is worsening, she observes, because there is more uncertainty. "On top of all the supply shortages are rising energy prices. Antoni Riera (of the Fundación Impulsa) has said that if inflation continues to rise and goes to being structural rather than being of a temporary nature, recovery will be more difficult."
As a consequence of Covid, "we have learned a lot, especially knowing how to resist". "The most damaging thing has been uncertainty, because when it comes to undertaking new projects, people think twice. ERTE (the furlough scheme) and all the protection mechanisms that were activated were very important. But now, with what is happening with the cost of gas and electricity, businesses are putting workers back on ERTE."
On the relationship with the Balearic government, Planas says that there has been sufficient dialogue, although she feels that sometimes there could be a more "pro-business" approach. At times, agreements have been more advantageous for some companies than for others. But she acknowledges that "this always happens".
The CAEB did not participate directly in talks about the tourism law, as this was something for the hotel federations. "They are our associates, but the negotiation was their business. We were surprised by the freezing of new tourist accommodation places and we do not agree with it because it affects many sectors." This moratorium, she believes, will result in a reduction in investment and therefore economic activity. "That ultimately affects salaries and people's well-being."
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Agree completely with the comment and the view that the system the government is much too complicated to try to work with its actually that you come to the point that it's better to give up and go somewhere else as I said it's so complicated that in the end you believe that it is so constructed that they can always refuse your request ,
I agree with this. There's certainly too much bureaucracy and red tape for businesses. Just one example, Spanish government websites are very poorly constructed, buggy, and often lead nowhere. You need a gestor that knows all the workarounds in order to navigate it. That adds unnecessary costs and time... I don't believe it's intentional, it's just that there's little appetite for reform, streamlining and consolidating processes. But then, it's far better than say, 10 years ago. It's still much too slow though.