Spain’s April Flash CPI at 2.2%
Spain’s April Flash CPI at 2.2%
On April 29, 2025, Spain’s National Statistics Institute (INE) released the flash estimate for the Consumer Price Index (CPI), indicating an annual inflation rate of 2.2%, slightly above the anticipated 2.0%, yet marginally below March’s 2.3%.
The modest decrease in inflation is primarily attributed to declining energy costs, notably in gas and electricity sectors. These reductions have offset price increases in areas such as leisure and cultural activities.
Core inflation, which excludes volatile items like unprocessed food and energy, rose to 2.4%, up from the previous 2.0%. This uptick suggests underlying inflationary pressures remain.
On a monthly basis, the CPI increased by 0.6% in April, compared to a 0.1% rise in March. This acceleration reflects seasonal factors and changes in consumer behavior.
Despite the higher-than-expected inflation figures, the European Central Bank (ECB) is anticipated to proceed with a 25 basis point interest rate cut in June, as current data hasn’t significantly altered monetary policy expectations.
These developments are crucial for businesses and investors monitoring Spain’s economic trajectory, as inflation trends influence purchasing power, cost structures, and monetary policy decisions.
