• Prior +0.6%
• GDP +2.7% vs +2.6% y/y prelim
• Prior +2.8%

This reaffirms the more robust showing in Spain’s economy to wrap up last year. The details show that domestic demand contributed 0.9% to quarterly GDP growth with external demand contributing -0.1%. Overall, the Spanish economy grew by 2.8% in 2025. And while that is not as strong as in 2024 (3.5%), it’s still a solid number and reaffirms that the economy is holding up well despite plenty of other concerns elsewhere around the region.

All that being said, this is very much lagging data now. That as the US-Iran conflict has materially reshaped the whole entire global economic landscape for this year and at least in the foreseeable future.

Spain’s economy was already dealing with a bit of a rebound in price pressures before this and will now have to face a challenge in keeping prices down amid the ongoing Middle East developments.