Greece records first negative inflation rate in 45 years

The last time Greece reported a negative inflation rate was in May 1968 (-0.3 pct).

The statistics service, in a report, noted that the inflation rate turned negative in March despite a 26.9 pct increase in heating oil price and a 12.3 pct increase

in electricity rates. The report noted that fresh potato prices rose 27.9 pct in March, fresh fish prices rose 2.7 pct and fresh fruit rose 2.3 pct, while dairy/eggs rose 0.6 pct and meat prices edged 0.4 pct higher. Tobacco prices also rose by 5.9 pct, along with clothing/footwear (2.1 pct), while air travel cost jumped 23.7 pct. On the other hand, pharmaceutical prices fell 14.6 pct, household services fell 8.4 pct, computer prices dropped 5.7 pct, car prices eased 5.3 pct and telephone service prices fell 5.1 pct. amna

The inflation rate was 1.7 pct in March 2012 and up 2.5 pct in March 2013 from February 2013.

The durable/household goods and services index recorded a 3.5 pct decline, the health index fell 4.6 pct, the transport index eased 2.1 pct, communications were 5.1 pct down, leisure/cultural prices index fell 2.9 pct, the education index fell 4.0 pct and the hotel/restaurant/coffee index was down 1.2 pct in March. On the other hand, the food/beverage index rose 0.3 pct, the alcohol/tobacco index was up 4.8 pct and the housing index rose 8.0 pct.

Greece’s harmonized inflation rate fell to 0.2 pct in March, from the same month last year.

source: AMNA