Energy costs fuel inflation rise to 4pc in May

13th June 2006, Comments 0 comments

13 June 2006, MADRID — Rising energy prices pushed Spain's annual inflation rate up by 4 percent in May compared with the same month a year ago.

13 June 2006

MADRID — Rising energy prices pushed Spain's annual inflation rate up by 4 percent in May compared with the same month a year ago.

Spain has had one of the highest rates of inflation in the euro zone for more than 10 years, the result of strong internal demand for goods and services, lack of competition in key sectors and spiraling energy costs.

On a monthly basis, consumer price inflation stood at 0.4 percent in May versus April.

The Spanish National Statistics Institute said prices for energy products in May rose 14.4 percent from a year ago, up from the 12.2 percent annual increase registered in April.

Fuel and petrol prices rose 17.9 percent in May compared with the year before - a rise of 15 percent in April.

Food prices remained stable in May, rising 3.9 percent year-on-year, the same rate as in April.

Spanish underlying inflation, which does not include energy and fresh food prices, weakened slightly in May from record highs in March and April.

The underlying inflation in May rose 3 percent year-on-year, a fall from 3.1 percent in April.

[Copyright EFE with Expatica]

Subject: Spanish news

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