Concerns about jobs on the rise
Job insecurity in Greece reached its peak last month, with 81 percent of households expecting a slight or strong rise in unemployment in the next 12 months, while only 7 percent expect unemployment to drop, according to a monthly survey by the Foundation for Economic & Industrial Research (IOBE). Unemployment concerns coupled with a sharp decline in consumer confidence of 11 points relative to October are the main reasons for the significant deterioration in the Economic Climate Index for November by 5.3 points, as it dropped to 66.4 points from 71.7 points in October. Nevertheless, IOBE notes that the decline of the index in Greece essentially constitutes a «correction» after the considerable rise registered in October due to the high expectations that are usually recorded whenever there is a change of government. Pessimism has also increased among households, with 46 percent (up from 37 percent in October) last month expressing the view that the country’s economy and their own financial situation will deteriorate in the next 12 months.
