From the 1960s, however, tourism has been the main driver of the area's economic development and creation of brand new infrastructure. This has brought an increase in job creation, its growth rapidly became the economic engine of the municipality, and it has now assumed a prominent place in the local economy. In parallel to the growth of tourism, the growth of all the related activities, especially in the construction industry, services, and commerce in general, resulted in the elevation of Lagoa to the status of "city".