Spain's economy is growing fast. So why is youth unemployment still so high?

Spain's economy is growing at the fastest pace in the European Union, yet youth unemployment remains stubbornly high—especially among graduates. Despite a 2.4% GDP growth forecast, the country's unemployment rate sits at 10%, with 36% of university graduates working in jobs that don’t require their degrees. The root of the crisis lies not in lack of economic opportunity, but in a deep misalignment between education and labor market needs. A major bottleneck is the scarcity of internships, particularly in small and medium-sized enterprises, which leaves graduates unprepared for the workforce. Meanwhile, postgraduate education has become a financial and time burden, with MBAs costing over $14,000—making it inaccessible for many. The real solution, experts argue, isn’t more degrees, but a revitalized vocational training system that integrates work-based learning. Countries like Switzerland and the U.S. are already showing success with programs that offer industry-recognized credentials and on-the-job training, especially in high-demand sectors like healthcare and skilled trades. Yet in Spain, vocational education still carries a stigma, seen as less prestigious than university paths. The OECD warns that AI will displace many cognitive jobs, but not those requiring human interaction—making vocational training more vital than ever. The path forward?