FDI legislation

Everything you need to know on FDI legislation in Catalonia and how it works for you


Royal Decree 664/1999 of 23 April governs foreign investments in Spain. According to this law, foreign investment is fully liberalized. Foreign investors are only subject to reporting obligations in some specific cases. These actions include:

  • Notification after the investment has been made.
  • Prior notification (in certain cases).
  • Annual Report (in certain cases).

Foreign investors

  • Non-resident individuals, i.e. Spaniards and foreigners resident abroad or whose main place of residence is outside Spanish territory.
  • Legal entities whose registered offices are located abroad.

Foreign investments

  • The establishment or expansion of provisions of branches of foreign companies. 
  • The participation of over 10% in listed companies
  • Participation in unlisted companies. 
  • Joint ventures or acquisitions operations. 
  • Other forms of investment (in foundations, cooperatives, financial interest groups) where the invested capital exceeds 3 million euros. 
  • Investment companies holding foreign securities (holding companies) to fiscally optimize a business group (these are usually excluded from analysis because they do not generate productive resources).
  • The reinvestment of subsidiaries, in the event that capital comes from abroad and not from the subsidiary itself.
FDI legislation
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All direct foreign investment is subject to a notification after the investment has been made.

Further information

Please contact us for further information regarding work permits, setting up a business fiscal and labour legislation, environmental issues or any other subject related to foreign investment and not addressed here. 


Passeig de Gràcia, 129
08008 BARCELONA
Tel: (+34) 93 4767287
catalonia@catalonia.com