Spanish Deflation Rate Confirmed at -1.1%

Consumer prices in Spain declined 1.1 percent year-on-year in April of 2016, deepening from a 0.8 percent fall in the previous two months and in line with preliminary figures. The country stayed in deflation for the fourth straight month, mainly due to lower prices for holiday packs and electricity, final estimates confirmed.

Downward pressure came from transport prices (down 5.1 percent), housing (down 7.1 percent), recreation and culture (down 2.6 percent) and health (down 0.2 percent) while biggest upward contributions came from food and non-alcoholic beverages (up 2 percent) and communication (up 3.4 percent). 

On a monthly basis, consumer prices went up 0.7 percent, also in line with preliminary figures and the biggest rise in a year. Cost of clothing and footwear jumped 10.6 percent and accounted the most for the rise as the new Spring-Summer season arrives. Transport prices went up 0.8 percent, boosted by fuels and lubricants. 

The harmonized index fell 1.2 percent on the year but gained 0.5 percent from the previous month. Monthly inflation has been previously reported at 0.4 percent. 

Spanish Deflation Rate Confirmed at -1.1%

INE | Joana Taborda |
5/13/2016 8:38:12 AM