National Statistics Institute (INE) reports this week, Inflation in Spain rose by two points in February to reach an annual rate of 4.4%; it’s highest since November 1995. Consumer sales were also lagging behind 2007 by a rate of 1.6% in January. The report states January consumer sales decline was the first time there have been declines in two consecutive months since the INE began it’s index in 2004.

Notable product price increases were driven highest in oil and, such leisure products as, alcohol and tobacco products. The country of Spain is anticipated to realize even further price increases in petrol and petroleum type products.

The Government and the European Central Bank have recently issued warnings regarding the possibility of upwardly mobile gasoline prices as the tourist season gathers momentum for high season. These suggested on the heels of similar bad news in the United States where consumers in states such as Hawaii are already paying more than $4 per gallon.

The findings appear a bit peculiar given the National Statistics Institute Index began in 2004. It is further assumed the earlier numbers are contributed by the Spanish Government authorities but there was no further mention of exactly how or where the information was generated.