Gasoline demand drop of 4.6% dampens economic outlook

Gasoline demand fell by 4.6 percent in the first quarter of 2017, compared to the equivalent period a year earlier, official market data released by the energy ministry has shown.

The downward trajectory of market trends, especially in fuel demand, a key economic indicator, runs contrary to more optimistic forecasts trumpeted by the government, claiming the country is now set for an economic recovery.

Diesel (ULSD) demand registered a marginal 0.6 percent increase in the first quarter and auto LPG demand rose by 2.9 percent.

Howewer, in March, gasoline demand dropped by 1.4 percent, LPG sales slumped by 7 percent and heating fuel - in a seasonal development - plunged by 25.4 percent.

Market officials expect a further overall slump in fuel demand to be registered for April. Unofficial data suggests a double-digit drop in diesel sales, but refineries have not confirmed such a development.

Diesel demand fell by 6.1 pecent and 2.2 percent in January and February, respectively, before rising sharply, by 8.5 percent, in March. Diesel is the leading fuel of choice among drivers in Greece.