San Sebastián maintains positive economic momentum in 2025, reaching its lowest historical unemployment rate of 5% and strengthening its productive fabric through Knowledge-Intensive Services (SEIC) and a robust scientific-technological ecosystem, according to the 2025 Economic Barometer by Fomento de San Sebastián.
The unemployment rate stands at 5%, the lowest figure in the available historical series, positioning the city as the municipality with the lowest unemployment in the Basque Country and one percentage point below the European Union average. The labor market saw approximately 34,700 people hired and 94,100 contracts formalized throughout the year. Permanent hiring increased by 1.6%, and hiring for those under 35 grew by 2.5%.
The city stands out for its R&D employment intensity, accounting for 2.36% of total employment, and an investment exceeding 396 million euros in research and development, equivalent to 4% of the local GDP. Knowledge-intensive services (SEIC) concentrate 35.4% of employment, reflecting the importance of technological development and highly qualified profiles.
“"San Sebastián has a diversified economy, with significant capacity to generate activity and employment and a growing specialization in knowledge-intensive activities. The challenge is to continue creating job opportunities, especially for those facing greater difficulties in accessing employment, and to reinforce our city's competitiveness in the face of demographic and economic changes."
Despite positive indicators, the analysis points to structural challenges such as population aging and labor market evolution. The active population decreased by 2.6%, while the inactive population increased by 5%. Gender disparities persist in working conditions, with higher part-time and temporary employment among hired women.
The Donostia economy experienced a nominal municipal GDP growth of 5.5% in 2025. The GDP per capita reached 53,800 euros. The services sector, which accounts for 91.3% of employment, sees SEIC contributing 47.5% of GDP and 35.4% of employment. Retail trade, leisure, tourism, and gastronomy also contribute significantly, representing about 12% of GDP and 18.4% of employment.
San Sebastián consolidates its position as a science and innovation hub with an R&D investment of 396.6 million euros (4% of municipal GDP). Over 7,170 people are engaged in R&D activities, showing high research employment intensity. Biotechnology stands out as a specialized sector, gathering a third of Basque investment and employment in this field.
The city now exceeds 190,000 inhabitants, with a 0.15% growth driven by the foreign-born population. Aging is a key challenge, with 26.6% of the population over 65. Although the young population is increasing, the under-15 population continues to decline.
