May 28, 2012
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Greek inflation steady at 5.5 pct in August
8 September 2010 / AP, ATHENS
Greece’s statistics agency says inflation stood at 5.5 percent on the year in August, the same as in July, reflecting tax hikes as the government struggles to tackle its debt load.
The greatest increase was in cigarette and alcoholic drink prices, which rose 19.3 percent compared to August 2009, while transportation costs rose 16.6 percent, the agency said Tuesday. The government has said the hike in inflation in recent months has been higher than expected as providers of goods and services passed on increases in indirect taxes to consumers. International Monetary Fund and European Union officials monitoring the Greek economy have said inflation is expected at 4.75 percent this year, and 1.5 to 2 percent next year, mainly due to higher taxes.
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