Greece’s inflation rate will follow a slowing path over the next two years, according to the Bank of Greece’s (BoG) “Inflation Monitor”.
Specifically, according to the BoG, the consumer price index is expected to reach 2.9% in 2025, due to strong and persistent inflation in services.
By the end of 2026, it will converge towards 2% – which is the ECB’s medium-term objective – but will remain slightly above this level.
However, a temporary increase is expected in 2027 due to the impact of ETS2 (the new EU carbon pricing system) on energy. According to the BoG, inflation is expected to increase to 2.5% in 2027.
Regarding core inflation, the BoG expects it to remain stable in 2025, slow down in 2026 and reach 2.2% in 2027, mainly reflecting the decrease in non-energy industrial goods inflation and, to a lesser extent, services inflation.
