Greek Consumer Prices Decline Fist Time In 45 Years - InvestingChannel

Greek Consumer Prices Decline Fist Time In 45 Years

Greece’s consumer prices in March decreased for the first time in more than forty-five years, as consumers’ spending power in the debt-stricken economy remained squeezed amid the ongoing recession.

The consumer price index dropped 0.2 percent on an annual basis in March, reversing the 0.1 percent rise seen in February, data released by the Hellenic Statistical Authority showed Tuesday. The last time the index recorded negative growth was in May 1968.

Food and non-alcoholic beverages prices rose 0.3 percent annually, and costs of clothing and footwear advanced 2.1 percent. There was an 8 percent gain in housing costs during the month, and a 2.1 percent fall in transportation expenses.

Month-on-month, consumer prices increased 2.5 percent in March, after falling 1.6 percent in the previous month.

The harmonized index of consumer prices (HICP) decreased 0.2 percent annually in March, after edging up 0.1 percent in February. Month-on-month, the HICP rose by 2.5 percent, following February’s 1.6 percent decline.

The Greek economy contracted 5.7 percent year-on-year in the fourth quarter, after shrinking 6.7 percent decline in the third quarter.

by RTT Staff Writer

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