Yeah, IMC it depends who you're asking.
If you ask me, the Creator of the setting, there are no gods, just sublimely powerful mortal spirits. There are also thousands upon thousands of them, with differing levels of power and sentience.
So I guess animism is the real situation in my setting.
If you ask a Commoner, she might answer "There is 1 god" (the local Demon she is forced to acknowledge) or "There are many" (the multitude of spirits). In some isolated areas, she might instead mention the Old Gods (dead elemental gods, whose powers appear in gifted children - Sorcerers), and on the relatively peaceful and civilised island kingdom of my setting, there are the 5 - the New Gods who rescued their subjects from Demonic oppressors. These "gods" live amongst men and rule them, and are based on the children of Geb and Nut (of Egyptian mythology).
I mean, just because they can grant spells, doesn't necessarily make these beings gods, IMO.