According to data published by the Bank of Spain (BdE), the debt of the Spanish Public Administrations (AAPP) stood at €1.699 trillion in August, its highest level in history. However, due to inflation (3%), its weight relative to the Gross Domestic Product (GDP) moderated to 103%, which represents a drop of 0.9 percentage points compared to the same month in 2024.
Thus, according to the data published this Tuesday by the BdE, the outstanding debt balance amounted to €1.699 trillion in August in absolute terms, representing a year-on-year growth of 4.7% and a 1.14% increase compared to July.
The Spanish government expects to reduce the debt-to-GDP ratio to 101.7% by the end of 2025. Over the longer term, the executive projects the debt to fall to 98.4% in 2027, 90.6% in 2031, and 76.8% in 2041.
