Sustainable Development and Social Inclusion: Efficiency Evidence From Spain and Policy Pathways for the <scp>SDGs</scp>

ABSTRACT This study examines how hospitality efficiency, sustainability and social inclusion are associated with the achievement of the Sustainable Development Goals (SDGs) in Spain's 17 autonomous communities (ACs) in 2023. Using non‐parametric efficiency analysis with bootstrap correction, quantile regression models, and Random Forest methods, an efficiency frontier is constructed for the regional hotel sector and is then related to five sustainability indicators: energy efficiency renovations, ecological certification, quality certification, territorial competitiveness and inclusive employment. The results indicate that sustainability practices and social inclusion are positively associated with efficiency rather than hindering it. On average, each additional energy reform is associated with a 2.8‐percentage‐point increase in the efficiency score; each additional percentage point of vulnerable employment with a 3.5‐point increase, and a one‐point increase in territorial competitiveness with a 10.2‐point increase. These findings provide empirical evidence, within the Spanish context, that investments in green transition and dignified employment tend to align with higher hotel productivity, particularly in tourism‐dependent regions, while also supporting an operational policy agenda at administrative levels.