Spain's year-on-year inflation rate surged to 4.3% in August, an increase of seven-tenths compared to the previous month and the highest value since February 2023, according to the Spanish statistics institute. This rise was driven by the surge in fuel prices, at a time when oil prices have again exceeded 100 dollars per barrel due to the conflict in the Middle East.
Underlying inflation, which excludes the most volatile elements such as energy and fresh food, remained high at 2.9%, still one-tenth below the previous month. The inflation rate has maintained an upward trend, pressured by rising food prices caused by the war in Iran, which has been ongoing for over six months.
This worsening of inflation has pushed the index further away from the 2% target set by the European Central Bank. The situation has already led the ECB to raise its interest rates twice this year, with the possibility of further increases remaining open if pressure persists.
Spain's harmonized inflation rate, used for comparison with other European countries, rose to 4.6% in August compared to the same period last year, above the 3.9% recorded in July.
