Madrid: A key destination for business and leisure travel

Madrid’s tourism industry in early 2025 is thriving, with a surge in international visitors and hotel performance despite challenges posed by overtourism. The growth is fueled by an increase in international arrivals and successful large-scale events.

In February 2025, the city welcomed 379,430 international travelers, comprising 51.3% of the total 739,938 visitors. This marked a 7.8% increase from the previous year, as reported by the Official Tourism Website of Madrid for Media. Overall, there has been a 4.5% growth in visitors over the past year, driven by a significant rise in international tourists (+7.8%) compared to a modest 0.7% growth in domestic tourists.

Although Madrid’s population remains stable at around 7,001,715 according to the INE, the continuous influx of visitors over the past year highlights the issue of overtourism. While Madrid currently does not have a tourist tax unlike other cities like Barcelona, there were discussions in 2023 about implementing one to manage the increasing visitor numbers and address overtourism.

The proposed tourist tax faced opposition from the Madrid Hotel Business Association, which raised concerns about its potential negative impact on the hospitality sector and tourists. Despite these challenges, Madrid’s tourism industry remains strong, with positive trends in overnight stays and hotel sector performance.