Canary Islands Launch £2.6 Billion Development Fund for Next Decade
Santa Cruz de Tenerife, 23 July – The Canary Islands government has unveiled a new £2.6 billion Development Fund (FDCAN), aimed at boosting innovation, infrastructure, and social care over the next ten years. The government will contribute £1.6 billion to this initiative.
President Fernando Clavijo announced details of the fund after the fifth Presidential Conference attended by Mari Brito, the president of the Canarian Federation of Municipalities (Fecam). Clavijo acknowledged the complexity of finalising the decree in just 24 hours but noted the valuable input received from local councils, which will be integrated into the evolving document.
Highlighting the plan’s co-governance, he stressed the collaborative effort among the government, councils, and municipalities. Clavijo also pointed out that the current socio-economic landscape is markedly different from that of 2015, allowing for new programme definitions to build a fairer and more cohesive archipelago.
Antonio Morales, president of the Canarian Federation of Islands (Fecai), called the FDCAN a vital tool for economic development and social unity. He confirmed the importance of housing and socio-sanitary policies within the fund, which will enhance rather than replace existing plans.
While acknowledging the limited time councils had for evaluation, Morales assured that proposals, like extending the initial FDCAN by a year to complete projects, will be considered. Technical workgroups will be set up to ensure a unified document tailored to local needs.
Half of the fund will be allocated for public works, 35% for socio-sanitary infrastructure, and 15% for innovation and research. Funding structures will vary by island, with 50% support for Gran Canaria and Tenerife, 80% for Lanzarote, La Palma, and Fuerteventura, and 90% for La Gomera and El Hierro.
Each council will plan projects collaboratively with their municipalities, with £162 million in annual funding from the Canary Islands government. The councils’ contributions will increase the total available investment to around £260 million each year.
The new FDCAN will adopt a more flexible model to prevent resource loss, enabling project adjustments as needed based on various factors.
