Inflation eases in recession-bound Spain

28th June 2012, Comments 0 comments

Lower fuel prices helped drag inflation in Spain's recession-bound economy to well below the average of the 17-nation eurozone in June, official data showed Thursday.

Annual inflation dipped to 1.8 percent in June from 1.9 percent in May, said the National Statistic Institute.

After peaking at 3.5 percent in April 2011, a two-and-a-half-year record, inflation has gradually been declining in Spain partly because of weaker energy prices.

No detailed breakdown was given for the latest report, but the Spanish statistician said lower fuel and lubricant prices were partly offset by higher tobacco and food prices.

Spanish inflation is now well below the eurozone average, which was 2.4 percent in May, according to a preliminary estimate by European Union statistics body Eurostat.

© 2012 AFP

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