Inflation rises to 4.1 percent in April, while food growth slows to 12.9 percent

Annual rate of inflation increased by eight tenths in April, to 4.1%due to the increase in fuel prices and a smaller drop in electricity, while the increase in food prices moderated to 12.9%, according to Efe, after a chain of two months with record growth above 16%.

The State Institute of Statistics (INE) confirmed this Friday general inflation data, which increased two weeks ago, as well as data on core inflation (excluding energy or fresh food), which moderated by 0.9 points and amounted to 6.6 % on an annual basis due to the slowdown in the growth of food prices.

The Ministry of Economy attributed rise in CPI to “base effect” which means comparing inflation from April this year with the first months of the outbreak of war in Ukraine. Despite the increase of eight tenths, the Department headed by Nadia Calviño emphasized, according to Europa Press, that the data for April were “less than half” of those recorded a year earlier.

On its part, Core inflation (excluding unprocessed food or energy) fell nine tenths in April to 6.6%, 2.5 points above the general CPI.

The Ministry of Economy attributed the drop in core inflation to a “sharp slowdown” in food prices, which recorded the “biggest drop in the historical series” in a month. Namely, according to INE, Food prices in April increased by 12.9% year-on-year.more than 3.5 points below the March rate.

This behavior was influenced cheaper pulses and vegetables and the fact that the price of meat, bread and cereals, oils and fats, milk, cheese and eggs went up less in April this year than in the same month of 2022.

The department headed by Nadia Calviño emphasized that Spain remains among the countries with the lowest inflation in the European Union and defended, according to Europa Press, that the measures adopted last December “will continue to help slow down the evolution of inflation.”

On a monthly basis (April vs. March), the CPI recorded an increase of 0.6%, two tenths higher than the growth in March (+0.4%) and eight tenths above the data for April 2022, when prices fell 0 .2%.

This monthly price increase was influenced by several factors, among them price increases for clothes and shoes for the new spring-summer season; an increase in fuel prices for passenger vehicles, as well as higher prices for tourist arrangements and accommodation and catering services. In contrast, gas and electricity prices fell by 8.9% and 3.3% respectively in the month.