Greece Announces Summer Fuel Price Cuts

Greek Prime Minister Kyriakos Mitsotakis has announced that gasoline and diesel prices will be reduced over the summer. The measure follows an agreement between the government and domestic oil refiners aimed at easing the impact of the conflict with Iran on fuel costs.

Although Greece has recovered from its debt crisis and Mitsotakis' government has cut taxes and raised wages since 2019, the rising cost of living continues to weigh heavily on household budgets. Purchasing power remains below the European average.

Responding to opposition criticism in parliament, Mitsotakis said Greece's two largest refineries had agreed to cut prices through the end of next month. Gasoline prices will fall by €0.10 ($0.12) per liter, while diesel will be reduced by €0.05 ($0.06) per liter.

The temporary measure will remain in place until the end of August, when fuel consumption typically peaks during the summer holiday season.

The ruling New Democracy party, which faces parliamentary elections next year, has already introduced subsidies for fuel and fertilizer, along with discounts on ferry fares. The government has also pledged to lower food and other essential consumer prices from September through agreements with suppliers and retailers.

(Reuters, Max)