Greece: Inflation accelerates in December
January 11, 2011
In December, consumer prices rose 0.4% over the previous month, double the increase seen in November. The reading mainly reflected higher prices for housing (+1.3% month on month) and for transport (+0.8% mom) as a result of higher oil prices. Owing to the price increase, annual inflation rose from 4.9% in November to 5.2% in December. Meanwhile, annual average HICP inflation (based on the harmonized index of consumer prices) closed the year at 4.7% in December, up from 4.5% in November. The government expects average inflation to moderate this year to 2.2%. Meanwhile, the European Commission and the International Monetary Fund (IMF) anticipate inflation to moderate to 1.5% - 2.0% amid subdued economic activity and high unemployment.