When will the Greek price inflection point arrive?What do economic experts say

2022-06-11 0 By

Greek families have to pay 400 euros to 500 euros more a year in living costs because of rising crude oil and prices caused by the conflict between Russia and Ukraine, the Sino-Greek Times reported, citing Greek media.According to statistics, a family now spends 25 to 30 euros more on basic food per month than before.These foods include:Bread €0.70 (up €0.01), orange juice €1.30 (0.04 euro), bagels 0.45 euro (0.05 euro), pasta 1.37 euro (0.32 euro), corn oil 2.20 euro (0.50 euro), milk 1.62 euro (0.14 euro), 100 grams of coffee 0.96 euro (0.16 euro), toast 0.70 euro(0.10 euro), 400 grams of goat cheese 5.20 euro (0.40 euro), 1 kilogram of ground beef 11 euro (1 euro).In addition, fuel prices have also risen significantly.Petrol prices have risen to €2.05 a litre, up €0.15, while diesel is up €0.23 a litre.On the other hand, the price of a litre of heating oil has also risen 0.47 euros in a month.That means buying an extra 500 litres of heating oil would cost 233 euros more than a month ago.Panagiotis Liargovas, director of the Greek Center for Planning and Economic Studies and professor of Economics at the University of the Peloponnesus, said that so far the problem of rising prices is under control, but it is affected by inflation.Next month is expected to be even worse.However, he added that prices would start to fall from May if the conflict between Russia and Ukraine ended soon.He noted that with tax revenues in the first quarter of the year holding up well and the cost of higher prices partly borne by energy pass-through, so far prices remain manageable and will not affect the government’s budget balance.Regarding the shortage of raw materials, Lyagevas said that while there will be a lot of pressure to solve the problem, he does not think Greece will face a big risk because there are many alternative suppliers available, but it is undeniable that costs will become higher.(Cai Ling)