Due to its economic output, high standard of living, and market size, Madrid is considered the major financial centre of Southern Europe and the Iberian Peninsula it hosts the head offices of the vast majority of the major Spanish companies, such as Telefónica, Iberia or Repsol. Madrid urban agglomeration has the 3rd largest GDP in the European Union and its influences in politics, education, entertainment, environment, media, fashion, science, culture, and the arts all contribute to its status as one of the world's major global cities. The current mayor is Ana Botella from the People's Party (PP).

As the capital city of Spain, seat of government, and residence of the Spanish monarch, Madrid is also the political centre of Spain. The city is located on the Manzanares river in the centre of both the country and the Community of Madrid (which comprises the city of Madrid, its conurbation and extended suburbs and villages) this community is bordered by the autonomous communities of Castile and León and Castile-La Mancha.

It is the third largest city in the European Union, after London and Berlin, and its metropolitan area is the third largest in the European Union after London and Paris. The population of the city is roughly 3.3 million and the entire population of the Madrid metropolitan area is calculated to be 6.271 million. Madrid ( English / m ə ˈ d r ɪ d /, Spanish: ) is the capital and largest city of Spain.

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