Inflation in Greece is projected to settle at 2.9% in 2025, according to the Bank of Greece (BoG). The Bank of Greece’s Fiscal Monitor report underlines that the country’s consumer price index (CPI) is expected to amount to just under 3%, mainly due to persistent inflation in the services sector.
According to the forecast, inflation in Greece is set to gradually decline and converge toward the European Central Bank’s medium-term target of 2% by the end of 2026. However, it is anticipated to remain slightly above that level.
A temporary increase in inflation is expected in 2027, primarily due to the introduction of the EU’s new carbon emissions pricing system, ETS2, which will affect energy costs. The Bank of Greece forecasts inflation to rise to 2.5% in that year.
As for core inflation, the Bank expects it to remain steady in 2025 before decelerating in 2026 and settling at 2.2% in 2027. This trend reflects a decline in inflation for non-energy industrial goods and, to a lesser extent, services.
In April 2025, Greece’s headline inflation rate (which includes commodities like food and energy) dropped to 2% from 2.4% in March, according to the Hellenic Statistical Authority (ELSTAT). Food inflation also eased slightly, down to 2% from 2.2%.
The most significant price increases were observed in natural gas (+29.9%), air passenger transport (+27.6%), residential rents (+10.8%), coffee, cocoa, and tea (+10.6%), and holiday packages (+9.8%).
Notable price declines were also seen in olive oil: -28.3%, heating oil: -12.9%, etc.
The overall Consumer Price Index (CPI) in April 2025 showed no change compared to March 2025. However, compared to April 2024, it increased by 0.5%.
The average CPI for the twelve-month period from May 2024 to April 2025 rose by 2.5% year-on-year — a slight decrease from the 2.8% increase recorded in the previous twelve-month period.
