The economy of Santa Cruz de la Palma is primarily driven by tourism, agriculture, and local crafts. Tourism, in particular, plays a key role, as the city attracts visitors seeking both historical and natural experiences. Visitors often come to explore the city’s colonial past, its natural parks, and its cultural festivals. Adventure tourism, such as hiking and stargazing due to the island’s renowned clear skies, has become increasingly popular.
Agriculture, especially banana cultivation, is another cornerstone of the local economy. The rich volcanic soil and mild climate make La Palma an ideal place for growing bananas, which are exported throughout Europe. In addition to bananas, the island also produces avocados, wine, and local cheeses, all of which contribute to its economy.
Local craftsmanship is also an important economic driver. Traditional Canarian crafts, such as handmade cigars, lacework, and ceramics, are produced in Santa Cruz de la Palma and exported to other parts of Spain and Europe. These unique products also attract tourists who are interested in local and authentic souvenirs.