Spain's inflation rate rose to 4.28% in August 2026, from 3.58% in July, extending an increase from 2.29% in January. The August reading is the highest since February 2023 and compares with 2.69% a year earlier. The rate remains well below the all-time high of 28.43% from August 1977. Separately, producer prices advanced 2.5% month on month in July 2026, according to International Monetary Fund data.

Spain Inflation Rate Climbs to 4.28%

Spain's real GDP growth eased to 2.71% year-on-year in the second quarter of 2026, from 2.73% in the previous quarter. The latest reading marks a slight deceleration after the prior period's uptick from 2.65% in the final quarter of 2025. Growth has remained within a narrow band of roughly 2.7% to 2.9% over the past year, with the current figure still well above the series' all-time low of -21.45% recorded in the second quarter of 2020. The pace is also below the 2.87% level seen a year earlier, reflecting a gradual cooling trend since the 3.66% peak in late 2024, according to the International Monetary Fund.

Spain Real GDP Growth Slows to 2.71%

Spain's consumer confidence index held at -4.5 in August, unchanged from July and down from -2.7 a year earlier. The index has risen from a recent low of -6.2 in April, but remains in negative territory and is well below the all-time high of 14.9 recorded in March 2000, while still far above the all-time low of -28 set in August 2012, according to Eurostat. The reading still marks the second straight month at -4.5.

Spain Consumer Confidence Holds at -4.5

Spain's business confidence fell to -3.7 in August, from -2.5 in July. The reading remained above the -5.8 recorded a year earlier and far above the series all-time low of -41.7 from January 1993. The index's all-time high is 9.5, set in February 2022. The decline reversed three consecutive monthly improvements from April's low of -4.9, according to Eurostat.

Spain Business Confidence Falls in August

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