Greek inflation slowed further to 1.7 percent in March, from 2.1 percent in February, the Hellenic Statistical Authority said on Monday.

The statistics service however, in a monthly report said prices of basic products and services recorded significant increases in March, reflecting higher oil and petrol prices, as well as higher taxes.

The consumer price index rose 1.7 percent in March compared with March 2011, after rising by 4.5 percent in the same month last year, while it rose by 2.8 percent in March from February 2012, after a 3.3 percent increase recorded in the same period last year.

The statistics service, attributed the March figure to a 2.4 percent increase in food and beverage prices, a 0.5 percent rise in alcohol/tobacco prices, a 6.9 percent increase in housing prices, a 3.8 percent rise in transport, a 2.7 percent increase in hotel/cafe/restaurant prices, an 1.1 percent rise in other goods and services.

However, clothing/footwear prices fell 3.6 percent, health prices eased 0.9 percent, communication prices fell 1.0 percent and education prices eased 1.0 percent.

Greece’s harmonized inflation rate slowed to 1.4 percent in March from 1.7 percent in February and 4.3 percentt in March 2010.