Inflation to ave­rage 3,4%

Bank Of Spain Expects Spain’s GDP To Grow 2.4% In 2023, 1.6% In 2024 And 1.9% In 2025

Spanish Economy.
Spanish Economy.

Link Securities| The Bank of Spain (BdE) yes­terday pu­blished its quar­terly re­port in which it re­leased its new ma­cro­eco­nomic fo­re­casts. Thus, BdE analysts now ex­pect Spain’s Gross Domestic Product (GDP) to grow by 2.4% in 2023 (2.3%; pre­vious es­ti­mate; 5.8% in 2022); 1.6% in 2024 (1.8%; pre­vious es­ti­mate) and 1.9% in 2025 (2.0%; pre­vious es­ti­ma­te).

As regards inflation, these analysts now expect inflation to average 3.4% in 2023 (3.6%; previous estimate); 3.3% in 2024 (3.4%; previous estimate) and 2.0% in 2025 (1.8%; previous estimate). For core inflation, which excludes unprocessed food and energy prices, they expect it to be 1.9% in 2024 and 1.8% in 2025.

For its part, the BdE expects the general government deficit to be 3.8% of GDP in 2023 (4.7% in 2022); 3.4% in 2024 and 3.6% in 2025. In addition, they expect public debt to GDP to fall in 2023 to 107% (112% in 2022), to 106% in 2024 and to rebound again in 2025 to 107% of GDP due to the higher government deficit.

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