Greek Households Face New Energy Price Squeeze
Rising energy prices are putting pressure on Greek household budgets and exports, according to Eurobank's analysis. The bank warns that sustained energy price increases could deepen pressure on households, eroding their purchasing power and limiting consumption growth.
The harmonized inflation rate in Greece reached 3.7% in August, up from 2.7% in July, while the eurozone recorded a lower rate of 3.2%. Brent crude oil averaged $101.20 per barrel during September through September 22, compared with $88.10 in August, representing an increase of 14.9%
The Bank of Greece identifies renewed Middle East hostilities and disruptions along energy supply routes as sources of pressure. Services contributed 2.2 percentage points to Greece's annual inflation rate in August, while energy added another 1.2 percentage points.