Bank of Spain raises 2026 inflation forecast to 3.9%, lifts growth outlook to 2.6%

The Bank of Spain raised its 2026 inflation forecast to 3.9% and sees 3.7% inflation in 2027, up from 2.7%. It lifted its 2026 growth forecast to 2.6% from 2.3% and sees 2.2% growth in 2027. It also projects a 2026 budget deficit of 2.6% of GDP, public debt at 98.5% of GDP at end-2026, and third-quarter GDP growth of around 0.6% q/q, warning of risks from geopolitics, oil prices and rising bond yields.

Detected & updated continuously · Source: Nebula