Spain CPI drops one percentage point to 5.8% in December; but underlying rises to 6.9%

Inflation Spain

CdM | Spain CPI dropped one percentage point to 5.8% in December from a year earlier, thanks to the fall in electricity and fuel prices. However food prices remained through the roof, according to preliminary data from the National Statistics Institute (INE) on Friday.

Core inflation, which strips out volatile fresh food and energy prices, stood at 6.9% year-on-year in December, up from 6.3% in November, INE said.

Consumer prices have now marked five consecutive months of year-on-year declines, and are now five percentage points below the high reached in July. Then inflation reached 10.8%, a level never seen before in Spain.

In November, Spain had the lowest inflation in the 27-member European Union with a rate of 6.7%, after peaking in July at around 11%.


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