Data at glance of Andorra - average on period

variable 2000-2007 2008-2009 2010-2019 2022 2023 2024 2025 2026
real gdp growth 4.45 -3.65 -0.82 2.6 3.8 3.9 2.1 1.8
CPI % 3.33 0.25 0.72 5.6 3.1 2.4 3.0 2.3
Unemployment rate - 3.0 3.76 1.5 1.5 1.1 1.1 1.1
Debt/GDP % 17.75 34.25 39.93 35.4 32.9 30.3 28.0 26.9
Current account balance/GDP % - - 16.75 14.2 15.9 15.9 16.0 16.0

Data derived from World Economic Outlook Database. To see main macroeconomic indicator in graphs click here

History

The landlocked Principality of Andorra -- one of the smallest states in Europe and nestled high in the Pyrenees between the French and Spanish borders -- is the last independent survivor of the Hispanic March states created by Frankish King Charlemagne in 795 after he halted the Moorish invasion of Spain. The March states were a series of buffer states to keep the Muslim Moors from advancing into Christian France. For 715 years, from 1278 to 1993, Andorrans lived under a unique co-principality, ruled by French and Spanish leaders (from 1607 onward, the French chief of state and the Bishop of Urgell). In 1993, this feudal system was modified with the introduction of a modern constitution; the co-princes remained as titular heads of state, but the government transformed into a parliamentary democracy. Andorra's winter sports, summer climate, and duty-free shopping attract approximately 8 million people each year. Andorra has also become a wealthy international commercial center because of its mature banking sector and low taxes. As part of the effort to modernize its economy, Andorra has opened to foreign investment and engaged in other reforms, such as tax initiatives aimed at supporting broader infrastructure. Although not a member of the EU, Andorra enjoys a special relationship with the bloc that is governed by various customs and cooperation agreements, and Andorra uses the euro as its national currency.

Environment

Area: 468 sq km km2

Climate: temperate; snowy, cold winters and warm, dry summers

Natural resources: hydropower, mineral water, timber, iron ore, lead

Ethnic characteristics

Groups: Spanish 34.3%, Andorran 32.1%, Portuguese 10%, French 5.6%, other 18% (2024 est.)

Languages:

Religions: Christian (predominantly Roman Catholic) 89.5, other 8.8%, unaffiliated 1.7% (2020 est.)

Government

Capital: Andorra la Vella

Government type: parliamentary democracy (since March 1993) that retains its chiefs of state in the form of a co-principality; the two princes are the President of France and Bishop of Seu d'Urgell, Spain

Executive branch

Chief of state: Co-prince Emmanuel MACRON (since 14 May 2017); represented by Patrick STROZDA (since 14 May 2017); and Co-prince Archbishop Joan-Enric VIVES i Sicilia (since 12 May 2003); represented by Eduard Ibanez PULIDO (since 27 November 2023)

Head of government: Prime Minister Xavier Espot ZAMORA (since 16 May 2019)

Legislative branch

Description: General Council (Consell General) - unicameral

Economic Overview

high GDP; low unemployment; non-EU Euro user; co-principality duty-free area between Spain and France; tourist hub but hit hard by COVID-19; modern, non-tax haven financial sector; looking for big tech investments; new member of SEPA and IMF

Industries

tourism (particularly skiing), banking, timber, furniture

GDP by sector: Agriculture: 0.5% (2024 est.), Industry: 12.8% (2024 est.), Services: 77.6% (2024 est.)

Trade

Export partners: Spain 39%, USA 21%, France 11%, UK 5%, UAE 3% (2023)

Export commodities: paintings, integrated circuits, cars, orthopedic appliances, garments (2023)

Import partners: Spain 65%, France 11%, Germany 4%, China 3%, Italy 3% (2023)

Import commodities: cars, refined petroleum, garments, perfumes, electricity (2023)

Geography

Southwestern Europe, Pyrenees mountains, on the border between France and Spain

Information derived from worldfactbook.io (Lupon Media), open successor to the CIA World Factbook. Data sourced from World Bank, IMF, UN and other international organizations.