An economy research group linked to the Sa Nostra banking foundation said yesterday that this is the first time in seven years that this sector has grown over global economic activity.
During the presentation of the report on the state of the region's economy as at June 2007, produced by the research group and the Balearic University, director Antoni Riera explained that the strong growth experienced in the service sector suggested the trend was going to continue for the rest of the year, meaning that the economy will grow another point to reach 2.8 percent.
The report claimed that between January and June this year, Balearic industry underwent a weak period displaying little dynamic in its growth of 1.4 percent, compared to construction which maintained a robust growth of 3.1 percent. Looking at the Islands individually, the director said that Majorca was keeping up solid growth, since dynamism in the service sector and construction continued to underpin the economy. All this combines with a healthy start to the tourist season which has contributed a rise of 8.5 percent, hallmarking a rhythm of expansion. Linked with this sector is the spending of visitors to the Island which has similarly buoyed transport services. Ibiza and Formentera also lay claim to a relative bonanza in the service industries.