UPDATE 1-Greek unemployment scales new high, one in four without a job


* Jobless rate rises to 25.1 pct from revised 24.8 pct inJune

* Unemployment climbs for 35th consecutive month * 1.26 mln Greeks without work, up 43 pct from last year * More than half of all youth are jobless(Adds details)

ATHENS, Oct 11 (Reuters) - Greece's unemployment rate hit anew record in July with one in four now out of work, like inSpain, as a crippling recession and austerity measures continuedto take a toll on the labour market.

Unemployment rose for a 35th consecutive month to 25.1percent in July, more than double the euro zone average and upfrom a revised 24.8 percent in June, Greece's statistics serviceELSTAT said on Thursday.

The jobless rate has more than tripled since the debt-ladencountry's five-year recession began in 2008 and now stands at 54percent for those aged between 15 and 24 years, compared with 22percent in July 2008.

A record 1.26 million Greeks were without work in July, up43 percent from the same month last year.

The slump in the Greek economy is expected to acceleratelater this year if the government implements further budget cutsof almost 12 billion euros over the next two years as apre-condition for more funds under its EU/IMF bailout.

The IMF expects unemployment to climb to an average 25.4percent in 2013.

The Greek jobless rate is now at a par with fellow euro zonesufferer Spain, whose unemployment rate stood at 25 percent inJuly and had been the highest in the euro zone, according toEurostat figures. It is more than double the euro zone averageunemployment rate of 11.4 percent in July.

Budget cuts imposed by the European Union and theInternational Monetary Fund as a condition for saving debt-ladenGreece from a chaotic default have aggravated a wave ofcorporate closures and bankruptcies.

Credit to companies has been shrinking as the country's banksdepend on the European Central Bank for liquidity and cannotfund firms.

Greece's economy is estimated to have shrunk by about a fifthsince then. More than 600,000 jobs, more than one in 10, havebeen shed in the process.

(Reporting by Harry Papachristou; Editing by Susan Fenton)

((harry.Papachristou@thomsonreuters.com)(+30 210 33 76 455 or+30 6949 440 106)(Reuters Messaging:harry.papachristou@thomsonreuters.com@reuters.net))


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