Inflation expanded to 3.1% last month

Inflation in Greece recorded an upward trend in March, as according to Eurostat estimates the European Union-harmonized consumer price index in Greece stood at 3.1%, compared to an annual change of 3% in February.

At the eurozone level, inflation followed a downward course and stood at 2.2% compared to 2.3% in February, which resulted in the gap with Greece growing again.

Compared to February there was a monthly rate of 1.8%, the largest in the eurozone, although February is a month of retail sales.

Even food inflation recorded a significant upward trend (1.7%), after a four-month period of price stabilization.

On Tuesday the Ministry of Development issued an information note emphasizing that Greece recorded the second lowest food inflation in February, but it is the minister, Takis Theodorikakos himself, who, just on Saturday, speaking on Skai TV, prepared the ground, arguing that “it will be extremely difficult to maintain zero food inflation in the coming period.”

The fact that Greece recorded the second lowest inflation in the eurozone does not negate the significant price increases in food in March of this year compared to March 2024. Even when they had stabilized, they were at particularly high levels. At the eurozone level, food inflation stood at 2.9%.

There were significant inflationary pressures recorded for another month in services. Therefore, the harmonized index of consumer prices in services showed an annual increase of 5.2% in March in Greece (the third highest in the eurozone) compared to an increase of 3.4% in the bloc. Finally, energy inflation in Greece stood at 0.2% compared to negative inflation in the eurozone (-0.7%).

The persistence of inflation and, in particular, the reappearance of inflationary pressures in food seem to be causing the ministry to have second thoughts about the duration of the measures to contain inflation, such as the profit margin ceiling and the “Household Basket.”

Both measures are valid until April 30, but when asked about it, Theodorikakos hinted that the lifting of the measures or their new extension will depend on the course of prices in April. 

Kathimerini