Mitsotakis: Initial reaction positive to inflation-containing measure entailed with ‘household basket’

Greek Prime Minister Kyriakos Mitsotakis on Thursday said initial market reaction to a measure aimed to contain surging inflation, known as the “household basket” of primary goods, is positive.

In response to a press question after the conclusion of an EU summit in Berlin, which focused on the western Balkans, Mitsotakis said his government has made it clear that it will continue to support vulnerable households and businesses against rising inflation.

The so-called “household basket” bundles specific durable and non-durable items sold in groceries and supermarkets, such as milk, pasta and toiletries. Larger supermarket chains have committed to announcing which items they will place in their specific “basket”. Large supermarket chains have also committed to freezing prices for a week for those specific goods, before announcing the following week’s “basket”.

He also reminded that his center-right government has taken a series of support measures in recent months, such as subsidizing electricity bills, a one-off bonus for low-income households to be disbursed before the Christmas holidays and promised social security hikes next year.

“There’s easy criticism and easy promises, but citizens no longer believe that inflation can be overturned with a single law and article,” he said, a direct “taunt” of the former leftist SYRIZA government (2015-19), which pledged before the 2015 election to rescind bailout agreements with international creditors – only to sign another memorandum months later.