Gross domestic product grew 5% from a historic 10.8% slump the previous year.
A forecast of 8.3% growth for the Balearics in 2022.
The recovery of tourism will drive economic growth in the Balearics.
President Armengol looked forward to 2018 bringing better pay for many workers.
"If there is insecurity, this can affect investment and, in turn, the growth and stability that we currently have in the Balearics."
The International Monetary Fund revised up its prediction for Spanish growth yesterday but warned “structural weaknesses persist”, particularly in the form of sky-high unemployment.
The regional government expects growth to be 3.7% next year. Other forecasts, citing Brexit, are not so optimistic.
The forecast is for a drop of one per cent in the economic growth rate.
BBVA suggests that growth will fall more in Murcia and Valencia, the latter because of the high concentration of British residents in Alicante.
The government says 3.5% growth. The Centre for Economic Forecasts disagrees.
- Mallorca hoteliers calling for eight-year sentences for British tourists' false claims
- Update: The 90-day rule for Britons in Spain your views keep flooding in " When we’re in Mallorca we also support the local economy"
- Palma's Via de Cintura cut off to save the lives of a group of disoriented dogs
- Playa de Palma club faces huge fine for security breaches
- Prison for three people involved in the smuggling of 24 kilos of drugs into Mallorca