Spain's prices dip by 0.7 pct in March

Spain's prices dipped by 0.7 percent in March when compared with March 2014, according to advanced data of the Consumer Price Index (CPI) published on Monday by Spain's national statistical office (INE).

The INE attributed this fall to higher prices of fuel, as consumer prices fell less in March in comparison with February when they had fallen by 1.1 percent on a year-on-year basis.

Meanwhile, prices rose by 0.6 percent from February to March.

Spanish prices have been falling for nine consecutive months on a year-on-year basis, but the Spanish government said there was no structural deflation because, according to the International Monetary Fund (IMF), deflation is a sustained decline of prices for two consecutive semesters.

However, OPA, a Spanish organization for freelance workers and entrepreneurs said deflation was a "real fear" while ATA, another organization of freelance workers, said low prices "have more advantages than disadvantages" as families had more purchasing power. Endit