South Tenerife Businesses Generate €1.5B, Criticize Public Investment Lags

The Circle of Entrepreneurs and Professionals of South Tenerife (CEST) has released a report detailing its members and the region's economy. CEST believes it's a key voice for local businesses. The study covered over 500 companies and professionals from various sectors, including new areas like sustainability, technology, and energy. It found that these businesses collectively generate more than 1.5 billion euros annually and have created over 8,300 direct and indirect jobs. CEST highlighted that its influence now extends beyond South Tenerife and even beyond the island itself.

The CEST report emphasizes the crucial role of the tourism industry. It's not only a vital economic driver that prevents the economy from slowing down but also encourages growth into new areas like sustainability, digital transformation, and audiovisual production. The business group stresses that tourism helps attract companies and investments in modern industries.

Despite a strong private sector making advanced investments in sustainable and innovative hotels and shops, CEST criticizes the lack of public investment. It highlights issues with improving public spaces, coastal facilities, and roads. For three decades, key demands have included adding a third lane to the TF-1 motorway between San Isidro and Playa de Las Américas, and expanding the Hospital del Sur. CEST regrets that the Canarian Government has not adequately responded to these needs.

Land management is another concern. CEST believes that administrative interference and political exploitation of the issue have contributed to the current housing crisis. The report also highlights a chronic shortage of security personnel. This affects public perception of safety and has led to an increase in crime, despite the efforts of officers working with limited resources.

A major problem is the mismatch between available jobs and the skilled workforce, which creates market tensions, leaves positions unfilled, and limits business growth, even leading to some closures. To tackle this, CEST calls for a significant political agreement to remove politics from training and education, with a long-term plan that extends beyond any single government's term. Furthermore, it urges the re-establishment of dialogue between businesses, trade unions, and the government to normalize employment policies.

Despite these challenges and what CEST describes as "frustrating" bureaucracy, South Tenerife remains attractive for international investment. A delegation of French entrepreneurs, interested in various activities, is even planning a visit soon. The region is seen as a "diamond in the rough," offering excellent conditions to attract businesses and capital, driven by the demand for high-quality specialized services.