FX.co ★ Spain Q2 GDP Growth Revised Higher

In the second quarter of 2025, the Spanish economy experienced a growth of 0.8% from the previous quarter, surpassing the initial estimate of 0.7% and representing the most significant expansion in a year. This follows a 0.6% increase in the first quarter. The growth was primarily driven by domestic demand, which contributed 0.8 percentage points, whereas external demand had little impact. Consumer spending increased by 0.8%, up from 0.5% in the first quarter. Additionally, investment saw a notable rise of 1.8% compared to 0.3%, while government expenditure increased slightly by 0.1%, down from 0.2% previously. Exports grew 1.3%, a slowdown from 2.4%, and imports rose by 1.6%, compared to 2% earlier. On the supply side, all major sectors expanded except for the primary sector, which saw a decline of 6.4%. Industrial production increased by 0.9%, supported by a 1.0% rise in manufacturing. The services sector grew by 1.0%, improving from 0.4%, and the construction sector saw a substantial jump of 2.3% compared to 0.3%. Annually, GDP rose by 3.1%, outpacing both the preliminary estimate of 2.8% and the 2.8% increase observed in the preceding quarter. The overall economic growth for 2025 is projected to be around 2.7%.