Bank of Greece foresees two more ECB rate hikes by mid‑2027 as inflation climbs to 3.8% in 2026

The Bank of Greece said the likelihood of two additional European Central Bank rate increases by mid‑2027 has risen, citing renewed geopolitical tensions in the Middle East and higher energy prices. It projects Greek inflation to reach 3.8% in 2026, up from 2.9% in 2025, while the Eurozone HICP is expected at 2.8% for June. Energy‑related price pressures are identified as the main driver, with the energy component of inflation forecast at 11.1% before easing in 2027.

In parallel, JP Morgan upgraded its view on Greek equities, labeling Greece as overweight and anticipating more than €1 billion of net inflows after the country’s upgrade to the Eurostoxx index and a move to the MSCI Developed Markets classification. The bank highlighted the attractive valuations of Greek banks, especially Eurobank, which it placed among its top ten CEEMEA picks.

The Cooperative Bank of Chania successfully held its annual general meeting, received a nationwide banking licence and announced plans to convert into a joint‑stock company. The bank reported strong interest from institutional investors, both domestic and foreign, in participating in its capital increase.