First indications from Eurostat that inflation is falling in Greece and the European Union

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According to the European Statistical Service, in November, the Greek consumer price index closed at 9%, when the average across Europe was at 10%.

If this trend is maintained in December, according to New Money, then Greece will no longer remain at the top of the accuracy, as in the previous semester. And Europe-wide, falling energy prices appear to be favouring a phase of de-escalation.

This is even as the knock-on effects of energy precision continue to spread to food and other basic livelihoods.

Even if the price increases on the grocery shelves from January onwards are large, the price index may show a lower growth rate and lower inflation, compared to last year in Greece - but also compared to the other EU countries. In other words, the base effect can work the other way around.

In fact, if the prices in energy were to de-escalate, Greece may show a greater drop than other countries, because in this section it had perhaps the biggest burden in Europe in the first half of 2021.

In any case, prices will continue to rise, even if inflation falls. Even at a slower pace compared to last year - when inflation reached 12% in the 3rd quarter of the year - 2023 is shaping up to be a hot one, as signals from industries have indicated that new increases are imminent which will be seen on the shelves as in February.

According to data from the Price Observatory, for 92% of the products included in the "Household Basket", the prices are reduced or kept constant in the 10th week of the implementation of the measure (from 04/1/2023 to 10/1/2023), based on the new price lists notified to the Ministry of Development and Investments by the supermarket chains.

Based on the estimates of the 2023 budget, inflation this year will decline to 5% throughout the year.

READ MORE: Greece had one of the lowest retail electricity rates in Europe in December.