Spain (6.6 percent)
Spain is experiencing the highest inflation since 1992, mainly due to energy. Food prices (plus 6.5 percent) also play a role.
“Spain gets a fair amount of gas from Algeria, which is partly transported via Morocco,” says Rabobank strategist Van Geffen, “But that multi-year contract came to an end at the end of October due to rising tensions between Algeria and Morocco. The uncertainty about the renewal of that contract led, among other things, to higher prices.” Many Spaniards also have an energy contract in which the high gas price is passed on directly.
Compared to other European countries, Spaniards spend a larger part of their income on food. “In periods of inflation, you see that in Spain the price of olive oil is immediately looked at. It went up enormously, just like the price for daily purchases such as meat, eggs or bread,” says correspondent Rop Zoutberg.
“On the markets, merchants complain that their customers buy much less. The Spanish government is saying that the curve will soon fall again. But in the end a lot depends on international energy prices and the country has only limited influence on this.”
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