Inflationary pressure on the Greek economy is expected to intensify, driven mainly by rising energy prices, according to the latest inflation report by the Bank of Greece.
The central bank forecasts that Greece’s General Consumer Price Index will reach 3.8% in 2026, compared with 3.0% in the Eurozone, with the divergence largely attributed to recent energy price shocks. By 2027, inflation is expected to ease significantly, falling to 2.6% in Greece and 2.3% in the Eurozone, as energy-related pressures subside.
Over the past two months, energy inflation in Greece has been roughly double the Eurozone rate, reflecting a sharper domestic adjustment in energy prices, economists at the Bank of Greece noted.
Energy inflation is projected to peak at 11.1% in Greece, compared with 8.4% in the Eurozone, before slowing sharply to 1.0% in 2027, according to the report.
