Spain’s economy expanded by 0.7% in the second quarter of 2026, compared with the previous quarter, new data from INE has revealed. On a year-on-year basis, GDP growth stood at 2.6%.
On a quarterly basis, domestic demand was the main contributor to quarterly growth, adding 1.1 percentage points to GDP, while external demand reduced growth by 0.5 percentage points.
Household final consumption increased by 1.2% from the first quarter, while government consumption rose by 0.5%. Gross fixed capital formation increased by 1.7%.
Elsewhere, exports of goods and services increased by 1.0% quarter on quarter. Imports increased by 2.6%, 2.5 percentage points more than in the first quarter, INE noted.
Production gains
On the production side, all major sectors except primary activities recorded positive quarterly changes in gross value added. Industry increased by 0.7%, with manufacturing rising by 0.5%.
Construction increased by 1.0%, 1.3 percentage points more than in the first quarter, while services expanded by 0.7%, maintaining the same rate as in the previous quarter. Primary activities contracted by 0.1%, compared with growth of 4.2% in the first quarter.
Annual GDP growth
Annual GDP growth in Spain was also supported by domestic demand, which contributed 3.5 percentage points, while external demand made a negative contribution of 0.9 points. Final consumption increased by 3.3% year on year. Household consumption rose by 3.5%, increasing by five tenths of a percentage point from the previous quarter, while public consumption increased by 2.6%.
Gross fixed capital formation increased by 5.0% year on year, eight tenths higher than in the first quarter. Exports increased by 1.5%, while imports rose by 4.3%, INE noted.
All major supply-side sectors recorded annual growth apart from primary activities. Industrial value added increased by 1.4%, with manufacturing up 1.8%. Construction grew by 4.3% and services by 2.9%, while primary activities contracted by 6.0%.
In the second quarter, the number of hours actually worked increased by 2.8% year on year. Full-time-equivalent employment rose by 2.2%, while productivity per full-time-equivalent job increased by 0.4%. Productivity per hour worked fell by 0.2%. Read more here.
