Greek Finance Minister Kyriakos Pierrakakis, who also heads up the Eurogroup, on Wednesday outlined growing concerns over global energy markets and economic stability in an interview with CNBC, while stressing that Europe is better prepared than in past crises.

Pierrakakis warned that global energy markets remain highly volatile, with ongoing geopolitical tensions and supply constraints continuing to pressure prices and economic activity. He also noted that near-term conditions could worsen, as disruptions in supply chains and energy flows take time to fully impact markets.

Even if conditions improve, he emphasized that energy supply chains would not recover immediately, pointing to structural delays in restoring flows and stabilizing prices.

At the same time, compared to the 2022 energy shock, Pierrakakis said European economies are now more resilient, citing diversification of energy sources and stronger policy coordination.

While acknowledging risks to growth and inflation, he indicated that current data does not yet point to full stagflation, though the situation remains fluid.

Finally, he underscored the importance of targeted government support and fiscal prudence, warning against overreaction while still protecting vulnerable households and businesses.