BUSINESS

Greek June EU-harmonized inflation returns positive on VAT hike

TAGS: Finance, Economy

Greece's annual EU-harmonized inflation returned to positive rates after three months of falling prices, stoked higher by recreational costs and elevated healthcare charges, statistics service data showed on Friday.

The reading in June was 0.2 percent from -0.2 percent in May.

The data also showed the headline consumer price index running at -0.7 percent year-on-year, with the annual pace of deflation easing from -0.9 percent in May.

Greek authorities introduced a one-point increase in Value Added Tax in June, along with other indirect taxes targeting alcohol.

The eurozone returned to inflation in June after four months of falling or stagnant consumer prices, principally due to a marked slowdown in the decline of energy prices, according to a first estimate from the EU's statistics agency.

Eurostat said inflation in the 19 countries sharing the euro rose to 0.1 percent in June year-on-year from -0.1 percent in May. [Reuters]

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