Greece: Inflation remains unchanged in January
February 10, 2011
In January, consumer prices dropped 0.7% over the previous month, contrasting the 0.4% increase seen in December. The reading mainly reflected lower prices for clothing and footwear (-13.7% month-on-month), which offset higher prices for housing (+2.7% mom) and food (+1.0% mom). Despite the monthly price drop, annual inflation remained unchanged at December's 5.2%. Meanwhile, annual average HICP inflation (based on the harmonised index of consumer prices) rose from 4.7% in December to 4.9% in January. 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.