British fashion retailer Primark has said it plans to invest €100 million to open new stores and refurbish existing ones in Spain, its second largest market after Britain.

The clothes retailer, owned by Associated British Foods, will open eight new stores throughout the country, including on the island of Lanzarote and the enclave of Melilla, the company said in a statement.

As part of its expansion plan, the company will add 1,000 new employees over the next two years, it said.

Even though many high-street retailers are struggling due to stiff competition from online-only brands, Primark, with its budget prices, has kept expanding over the past years.

The retailer has said it will hold prices steady despite rising inflation though it cautioned that rising input costs will hit its results in the new financial year.