Post by hasan77 on Feb 15, 2024 0:47:37 GMT -5
During recent years, the increase in prices in Spain has been one of the most disturbing issues for the country's economy. According to data provided by theConsumer price index, (CPI), in the last month there has been an increase of 4.1%, which represents a significant increase compared to previous years. What is driving the increase in prices in Spain? An analysis of the underlying causes Although prices in Spain have experienced a significant increase, it is important to consider underlying inflation to more accurately estimate the evolution of the cost of living in our country. In this sense, it is relevant to highlight that core inflation has decreased almost one point, standing at 6.6%, according to data from the National Institute of Statistics (INE) compared to the previous period.
In addition, the latest report highlights a slowdown in the increase in food prices , which registered an increase of 0.4% in March, a slight decrease compared to the same period of the previous year. In any case, the recent price increase has been largely driven by the increase in energy Papua New Guinea Email List prices , particularly fuels . It is important to note that the recovery in demand after the relaxation of health restrictions due to the pandemic has also contributed to this increase. It is understandable that the current situation may generate some concern among the population, but the Bank of Spain (BDE) has indicated that these increases in prices are temporary and it is expected that in the medium term prices will experience some moderation in their evolution.
Indeed, the agency has highlighted that underlying inflation, which does not include the most fluctuating price components, such as fresh food or fuel, is currently at moderate and stable levels. Likewise, the Bank of Spain emphasizes the need to implement short-term demand stimulus policies in order to promote economic recovery , and also carry out structural reforms that favor the efficiency of the economy in the long and medium term. These actions are aligned with the purposes of economic and price stability established by both the European Central Bank (ECB) and the national economic authorities. Comparative analysis of the CPI in different European countries As in Spain, other European countries have also experienced an increase in the CPI. In March, Italy's CPI rose 3.5%, while France's rose 2.5%. This increase is mainly due to the rise in food, energy and fuel prices. Inflation has been increasing progressively since the beginning of 2022, which has sparked growing concern among European governments and central banks .
In addition, the latest report highlights a slowdown in the increase in food prices , which registered an increase of 0.4% in March, a slight decrease compared to the same period of the previous year. In any case, the recent price increase has been largely driven by the increase in energy Papua New Guinea Email List prices , particularly fuels . It is important to note that the recovery in demand after the relaxation of health restrictions due to the pandemic has also contributed to this increase. It is understandable that the current situation may generate some concern among the population, but the Bank of Spain (BDE) has indicated that these increases in prices are temporary and it is expected that in the medium term prices will experience some moderation in their evolution.
Indeed, the agency has highlighted that underlying inflation, which does not include the most fluctuating price components, such as fresh food or fuel, is currently at moderate and stable levels. Likewise, the Bank of Spain emphasizes the need to implement short-term demand stimulus policies in order to promote economic recovery , and also carry out structural reforms that favor the efficiency of the economy in the long and medium term. These actions are aligned with the purposes of economic and price stability established by both the European Central Bank (ECB) and the national economic authorities. Comparative analysis of the CPI in different European countries As in Spain, other European countries have also experienced an increase in the CPI. In March, Italy's CPI rose 3.5%, while France's rose 2.5%. This increase is mainly due to the rise in food, energy and fuel prices. Inflation has been increasing progressively since the beginning of 2022, which has sparked growing concern among European governments and central banks .