ECONOMY

Greek deflation steady in July, prices fall for 29th month

Greek deflation steady in July, prices fall for 29th month

Greek consumer prices fell by 2.2 percent year-on-year in July, with the annual pace of deflation unchanged from the previous month, data from the country's statistics service showed on Friday.

Greece's EU-harmonized deflation rate picked up, showing prices fell by 1.3 percent in July from a fall of 1.1 percent in June. Analysts polled by Reuters were projecting a decline of 1.2 percent.

Greek consumer prices fell by an average of 1.3 percent in 2014 compared to a year earlier.

For years an inflation outlier in the eurozone, Greece has been in deflation mode for the last 29 months as cuts in wages and pensions and a deep recession exerted downward pressures.

Deflation in Greece hit its highest level in November 2013, when consumer prices registered a 2.9 percent year-on-year decline.

Inflation in the eurozone softened in June as energy costs weakened and price rises of food and services eased after a spike in May.

Consumer prices in the 19 countries sharing the euro rose by 0.2 percent year-on-year in June, easing from 0.3 percent in May, according to EU statistics office Eurostat.

[Reuters]

Subscribe to our Newsletters

Enter your information below to receive our weekly newsletters with the latest insights, opinion pieces and current events straight to your inbox.

By signing up you are agreeing to our Terms of Service and Privacy Policy.