Greek Inflation to Hit 3.8% in 2026, Bank of Greece Governor Says

Greece’s economy is still expanding faster than the rest of the eurozone, but a fresh jump in energy prices is set to push inflation further up this year, the governor of the Bank of Greece has told the country’s lenders.

Governor Yannis Stournaras set out his projections for the global, European and Greek economies at the annual general assembly of the Hellenic Bank Association, the body that represents Greece’s banks, and laid out the main risks he sees ahead.

Energy shock pushes Greek inflation higher

Inflation had slowed to 2.9% by December 2025, and the central bank had expected it to keep easing through 2026. However, the war between Iran and the United States, the closure of the Strait of Hormuz and the steep rise in fuel prices that followed upended these more optimistic projections. The Bank of Greece now expects headline inflation to average 3.8% in 2026, up from 2.9% in 2025, before slowing to 2.6% in 2027 and 2.3% in 2028 as energy and food pressures gradually ease.