Annual inflation rate in Spain increased to 0.8 percent in December of 2019 from 0.4 percent in November and in line with the preliminary figures. It is the highest inflation rate in seven months. The biggest upward pressure came from prices of transport (4 percent), as cost of fuels and lubricants rose in 2019 compared to a fall in the previous year. Prices also went up for air transportation. Other rises were seen in cost of food and non-alcoholic beverages (1.7 percent); hotels, cafes and restaurants (2 percent); recreation and culture (0.1 percent); miscellaneous goods and services (1.4 percent); clothing and footwear (0.9 percent); health (0.5 percent); communication (0.7 percent); and education (0.9 percent). On the other hand, downward pressure came from cost of housing (-5 percent), due to a fall in electricity prices. The monthly rate fell to -0.1 percent from 0.2 percent. Inflation Rate in Spain averaged 6.60 percent from 1955 until 2019, reaching an all time high of 28.43 percent in August of 1977 and a record low of -1.37 percent in July of 2009. source: National Statistics Institute (INE)
Inflation Rate in Spain is expected to be 0.70 percent by the end of this quarter, according to Trading Economics global macro models and analysts expectations. Looking forward, we estimate Inflation Rate in Spain to stand at 1.10 in 12 months time. In the long-term, the Spain Inflation Rate is projected to trend around 1.40 percent in 2020, according to our econometric models.