Spain has highest euro price hike in Europe
2 May 2005

MADRID — Spain has seen the sharpest price rises in Europe since the introduction of the euro, a report has found.

An indication of how prices have shot up in Spain since it adopted the euro in 2002 came as the report found a loaf of bread has doubled in price in two years.

The report by the Confederation of Consumers and Users (CECU) found in 2001, before Spain adopted the euro, a loaf cost the equivalent of 36 centimes — today the average price is 70 centimes.

In Spain, prices have risen on average by 10.2 percent compared with a European average of 6.3 percent.

The main increased in Spanish euro inflation have been seen in hotel prices and food. In 2001 it was possible to buy a coffee for 60 centimes but now it is hard to find a cafeteria selling a coffee for less than a euro.

Hotel and coffee prices have risen 14.6 percent between 2002 and 2004.

Alcoholic drinks and tobacco have gone up by 13.4 percent, transport by 12.5 percent, rented housing by 13.2 percent and a Metro ticket has gone from 65 centimes to one euro.
Non-alcoholic drinks and food rose by 12.2 percent, the report adds. An average new house has also gone up by 10.2 percent.

[Copyright EFE]