**Greek PM Announces Deal to Cut Fuel Prices Over the Summer**
Greek Prime Minister Kyriakos Mitsotakis announced on Friday that consumers will see a reduction in gasoline and diesel prices this summer, following a government agreement with the country’s oil refineries. This decision aims to alleviate the financial strain on households caused by rising fuel costs, which have been exacerbated by the ongoing conflict in the Middle East, particularly the situation in Iran.
During a parliamentary session, Mitsotakis responded to inquiries regarding the escalating cost of living, stating that the two major oil refineries in Greece have consented to implement price reductions. Specifically, gasoline prices will decrease by 10 cents per litre, while diesel prices will be reduced by 5 cents per litre. These adjustments are set to remain in effect until the end of August, coinciding with the peak summer travel season when fuel consumption typically increases as many Greeks head to the countryside and islands for their holidays.
The Prime Minister emphasized that this temporary relief is part of a broader strategy to support consumers amid rising prices. Since taking office in 2019, Mitsotakis’ government has focused on economic recovery following Greece's prolonged debt crisis from 2009 to 2018, which necessitated significant austerity measures, including wage cuts. In recent years, the government has enacted tax cuts and salary increases in an effort to boost household incomes.
Despite these measures, many Greek households continue to feel the pressure of rising living costs, with purchasing power still lagging behind the European average. The government’s recent initiatives, including subsidies for fuel and fertilizers, as well as discounts on ferry tickets, are part of ongoing efforts to ease financial burdens on consumers. Mitsotakis also announced plans to provide cheaper food and essential goods starting in September, following discussions with domestic suppliers and supermarkets.
As Greece prepares for parliamentary elections next year, the ruling New Democracy party, which holds a majority in the 300-seat parliament, is keen to address the concerns of voters regarding the cost of living. The temporary fuel price reductions are expected to be a welcome development for many citizens, particularly during the summer months when travel and leisure activities typically see an uptick.
In summary, the recent agreement between the Greek government and oil refineries marks a proactive step towards mitigating the impact of rising fuel prices on consumers. As the nation continues to navigate economic recovery, the focus remains on ensuring that citizens can manage their household budgets effectively, especially in light of external pressures from geopolitical conflicts.