Greek Households Struggle Despite Economic Growth

Greece's economy may be on the rise, but many households are struggling to cope with the rising cost of living. Delivery rider Vaios Kandris, for instance, starts each workday by calculating how much fuel he can afford. Fuel prices have climbed so much that they now dictate how long he can stay on the road. A few years ago, petrol was cheaper, but now, with everything else increasing, Kandris says he can barely make ends meet.

At an Athens petrol station, Kandris doesn't fill his tank completely. Instead, he adds only a few euros' worth, just enough to get through the day. For workers like him, fuel is a necessity, not a luxury. His motorbike is his livelihood, and every extra euro spent on fuel is money that cannot be spent on food, rent, electricity, or other household bills.

The pressure Kandris feels reflects a broader issue for Greek consumers. Inflation reached 3.8% in August, while housing costs, including rent, electricity, gas, and other fuels, rose 9.7% compared to a year earlier. Transport costs have also increased. Even as the Greek economy expands at around 2%, many households report that their disposable income is still being squeezed.

The government claims it is taking action. Prime Minister Kyriakos Mitsotakis has announced measures to reduce the burden of energy and fuel costs, including support for heating oil. The government is also increasing the heating allowance for households and providing a 20-cent reduction in diesel prices during the first half of October. However, consumer groups argue that these measures do not fully compensate for the sharp price increases faced by families.

Apostolos Raftopoulos, president of the Greek Consumers' Association of Employees, said that even if prices fall to around $1.80 or $1.90 per liter, consumers would still be paying significantly more than last year. For Kandris, the economic debate comes down to a simpler question: How much can he earn in a day? How much of that income goes straight back into his fuel tank? And after the bills are paid, how much is actually left?