| Author (Corporate) | International Monetary Fund |
|---|---|
| Series Title | News |
| Series Details | 31.07.18 |
| Publication Date | 31/07/2018 |
| Content Type | News, Report |
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The International Monetary Fund (IMF) published its annual report on the state of the Greek economy (the 2018 Article IV Consultation with Greece) on the 31 July 2018. It said that Greece had successfully eliminated its extraordinarily high fiscal and current account deficits, and restored growth. It must now take action to address crisis legacies and boost inclusive growth. Further information Following a deep and protracted contraction, growth had finally returned to Greece. The large macroeconomic stabilisation effort, structural reforms, and a better external environment contributed to an increase in real GDP of 1.4% in 2017, helped also by substantial support from European partners, which secured medium-term sustainability and restored market access. However, stock legacy issues persisted, as unemployment remained high and public and private balance sheets remain impaired. The recovery was projected to strengthen in the near-term, with growth expected to reach 2% in 2018 and 2.4% in 2019, and with unemployment declining as the output gap closed. However, external and domestic risks were tilted to the downside, including from slower trading partner growth, tighter global financial conditions, regional instability, the domestic political calendar, and risks of reform fatigue. Moreover, in the long term, population aging was expected to weigh down on potential growth, increasing the need to foster productivity. |
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| Source Link | Link to Main Source http://www.imf.org/en/news/articles/2018/07/30/na07302018 |
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| Countries / Regions | Greece |
