Greece Outpaces EU on Growth But Unemployment Remains in Double Digits

The Greek economy delivered a strong performance in the first quarter of 2026, growing at well above the EU average, while unemployment remained in double digits, painting a mixed picture for the country’s economic outlook.

According to data from the Hellenic Statistical Authority (ELSTAT) and Eurostat, Greece’s GDP grew by 2 percent year on year in the first quarter of 2026, compared to 0.7 percent for the EU as a whole. On a quarterly basis, the Greek economy expanded by 0.2 percent, while the EU recorded a contraction of 0.1 percent.

Growth was driven primarily by a sharp rise in investment, which jumped 12.1 percent compared to the same period in 2025. Exports of goods and services rose 2.4 percent, significantly outpacing import growth of 0.5 percent, helping to narrow the trade deficit. Consumer spending also edged up by 1 percent.

The results are seen as a sign of resilience, as the data covers March 2026 – the first month of the Middle East crisis and its knock-on effects on energy markets.

However, the labour market tells a more complicated story.

Unemployment stood at 10.6 percent in the first quarter, up slightly from 10.4 percent in the same period of 2025. The total number of unemployed reached 508,401, with nearly half – 49 percent – classified as “long-term unemployed”.

Women continued to bear a disproportionate share of unemployment, with a jobless rate of 13.9 percent compared to 7.9 percent for men, while youth unemployment among those aged 15 to 24 remained particularly high. On a more positive note, total employment rose 1.3 percent year-on-year to 4.27 million people, confirming that the economy continues to generate new jobs.

Analysts note, however, that despite this progress, Greece has yet to fully address the deep-rooted structural weaknesses of its labour market.

Cre: Greek Travel Pages