ECONOMY

Spuds rein in inflation

The drop in the retail price of products such as potatoes saw the inflation rate drop to 1.3 percent last month from 1.4 percent in May and from 3.3 percent in June 2011, according to figures released on Monday by the Hellenic Statistical Authority (ELSTAT).

However, while the price of potatoes may have dropped 12.8 percent on average year-on-year, other food prices have remained at the same levels, with some having actually risen, despite the significant decline in demand: Fresh fruit added 7.2 percent, fruit juice rose by 8.8 percent, fresh vegetables added 3.8 percent and dairy products became 2 percent more expensive.

Medical services (down 2.1 percent), entertainment services (2 percent) and hairdressing rates (2.7 percent) showed a decline on a yearly basis.