Publications

Galicia's economy will maintain solid growth in 2026–2027, supported by employment, consumption, exports and expansionary fiscal policy. The external environment will continue to affect industry and investment, while challenges related to productivity, housing and labor availability persist.

BBVA Research expects Navarra's GDP to grow by 2.0% in 2026 and 2.4% in 2027 (Spain: 2.1%). Employment, consumption and fiscal policy will support economic activity, while a recovery in exports will help accelerate growth, despite risks related to industry and energy.

Extremadura is expected to maintain solid growth of close to 2% in 2026-2027, supported by consumption, investment and job creation, with relatively favourable GDP per capita performance. A worsening external backdrop, weak exports and agricultural activity, and structural bottlenecks will weigh on the outlook.

Cantabria’s economy is expected to maintain solid growth in 2026–2027, supported by employment, consumption, a recovery in exports, and expansionary fiscal policy. Global economic conditions will continue to weigh on industry and investment, while challenges related to productivity, housing, and labour supply persist.

June inflation remained elevated, at 4.0% y/y, driven by weather-related factors that pushed up prices for fish, fruit, and eggs, while Transport fell on lower fuel prices. Core inflation also rose, to 4.5% y/y, reflecting the pass-through of earlier fuel price increases to urban transport costs.

Castile and Leon will maintain solid growth, hovering around 2% over the two-year period. This is supported by the recovery of exports, private consumption, and a strong labor market, though it faces greater risks stemming from the international environment.

Argentina’s economy continues to consolidate its macroeconomic stabilization. While the external sector is gaining strength through the contribution of energy and mining, the main challenge remains extending the recovery to employment, incomes, and the more lagging sectors of the economy.