Unemployment rises further in Greece as crisis continues

THE NUMBER of jobless people in Greece is still rising, hitting a record high of 26.8 per cent in March, according to statistics released yesterday.

There are now 1.31m people unemployed in the struggling economy, with the number of people in work falling by nearly 250,000 since the previous March. Unemployment has more than tripled in the last five years.

Young people are still being hit hard by the country’s depression, with 58.3 per cent of 15-25 year olds jobless and looking for work. The news came on the same day that the IMF admitted that their approach to 2010’s Greek bailout was flawed.

French unemployment also ticked up, rising from 10.5 per cent in the last quarter of 2012 to 10.8 per cent in the first month of this year. The country officially entered recession again in May.

One report released yesterday predicted a more pronounced recession for the euro area. PWC dropped its estimated growth for the currency union from -0.4 per cent to -0.6 per cent in 2013. It forecast that the European Central Bank (ECB) decision to lower interest rates to 0.5 per cent in May, would have limited impact.