This paper examines the recent developments in the Greek system of urban centres, in order to assess the validity of the view that trends of deconcentration have been in operation during the last decade. The estimation of the rank-size distribution functions for all the post-war census years shows that concentration trends were prevailing until the early 1980s. During the last decade however, stabilisation or even deconcentration trends have appeared with the faster development of smaller cities. This finding could be very promising for the prospects of a more balanced development of the highly concentrated Greek economy, to the extent that the faster growing small cities were randomly distributed in space. Further analysis however shows that the faster growing smaller cities are largely sattelite-cities of the metropolitan centres of Athens and Thessaloniki.Based on the results of regression analysis, the paper concludes with a discussion on the factors contributing to differential urban growth performance and the policy implications of these findings for metropolitan regions and balanced growth in Greece.