Overview
- Preliminary INE data show headline CPI dipped by 0.1 percentage point in December to 2.9%.
- Spain’s 2025 average inflation rate was 2.7%, remaining above the ECB’s 2% objective.
- Lower motor fuel prices were identified as the main contributor to the December moderation.
- Core inflation averaged 2.3% in 2025, down from 2.9% in 2024, with persistent pressures in food and services.
- After a 16‑month high in October, CPI has declined for two straight months; CEOE expects 2026 slightly above 2% and Funcas forecasts 2.4%.