The economy of Guadix has traditionally been based on agriculture, with olive oil production, wine-making, and cereal crops being important sectors. However, in recent years, tourism has become a major economic driver due to the city’s unique attractions, such as its cave dwellings and historical sites.
Crafts and local artisanship are also integral to the economy, with pottery and ceramics being prominent local products. The city’s proximity to the Sierra Nevada has fostered a growing outdoor adventure industry, with hiking, mountain biking, and winter sports attracting tourists from across Europe.
Another key industry is construction, driven by both residential developments and the renovation of historical buildings, particularly in the cave district, which has seen a rise in eco-friendly tourism initiatives.