Greek unemployment hit a record 22.5 per cent in April and may keep edging higher, with even the key tourism sector unlikely to provide more than fleeting support over the summer as visitors stay away from the recession-hit country.
Near-bankrupt Greece is dependent on aid from theEuropean Union and the International Monetary Fund, who have demanded spending cuts that have helped push its economy into a fifth year of recession and forced thousands of businesses to close.
The jobless rate for April was up from a revised 22 per cent in March, Greece's statistics service ELSTAT said on Thursday. It also marked a sharp rise from 16.2 per cent in April last year.
Analysts said the jobless rate could tick up further, despite a brief respite thanks to the summer tourism season.
"Some temporary support may be provided over the summer months, especially from the tourism sector," said Platon Monokroussos, an economist at EFG Eurobank.
"However, given the fact that the jobless rate is a lagging indicator of broader economic activity, unemploymentmay not have reached its peak yet."
Prime Minister Antonis Samaras's coalition government is struggling to reconcile opposing demands from lenders for austerity cuts to bring Greece's finances back on track and growing anger from Greeks struggling to make ends meet.
The government took power after re-run elections on June 17 on a promise to renegotiate the harsh austerity terms in the bailout, but it has since softened its stance as it risks running out of money in weeks without further aid.
A think-tank formerly run by the new finance minister this week said the crippled economy will contract a steeper-than-expected 6.9 per cent this year, piling more misery on Greeks who have already suffered steep cuts to wages and pensions.
"Nothing Out There"
In particular, tourism - a key sector which accounts for about one in five jobs - is expected to be weak this year after revenue tumbled by 15.1 per cent in the first quarter.
Strikes as well as violent anti-government protests have dented the Mediterranean country's image abroad, with significantly fewer German and British tourists visiting its ancient ruins and sun-drenched islands this year.
Unemployment in Greece is twice the average for the 17 countries sharing the euro, which stood at 11.1 per cent in May, and is fast approaching that of Spain, which hit 24.4 per cent in the first quarter.
Near-bankrupt Greece is dependent on aid from theEuropean Union and the International Monetary Fund, who have demanded spending cuts that have helped push its economy into a fifth year of recession and forced thousands of businesses to close.
The jobless rate for April was up from a revised 22 per cent in March, Greece's statistics service ELSTAT said on Thursday. It also marked a sharp rise from 16.2 per cent in April last year.
Analysts said the jobless rate could tick up further, despite a brief respite thanks to the summer tourism season.
"Some temporary support may be provided over the summer months, especially from the tourism sector," said Platon Monokroussos, an economist at EFG Eurobank.
"However, given the fact that the jobless rate is a lagging indicator of broader economic activity, unemploymentmay not have reached its peak yet."
Prime Minister Antonis Samaras's coalition government is struggling to reconcile opposing demands from lenders for austerity cuts to bring Greece's finances back on track and growing anger from Greeks struggling to make ends meet.
The government took power after re-run elections on June 17 on a promise to renegotiate the harsh austerity terms in the bailout, but it has since softened its stance as it risks running out of money in weeks without further aid.
A think-tank formerly run by the new finance minister this week said the crippled economy will contract a steeper-than-expected 6.9 per cent this year, piling more misery on Greeks who have already suffered steep cuts to wages and pensions.
"Nothing Out There"
In particular, tourism - a key sector which accounts for about one in five jobs - is expected to be weak this year after revenue tumbled by 15.1 per cent in the first quarter.
Strikes as well as violent anti-government protests have dented the Mediterranean country's image abroad, with significantly fewer German and British tourists visiting its ancient ruins and sun-drenched islands this year.
Unemployment in Greece is twice the average for the 17 countries sharing the euro, which stood at 11.1 per cent in May, and is fast approaching that of Spain, which hit 24.4 per cent in the first quarter.
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