His estimation that the Greek economy will grow at a rate of about 3% in 2022 compared to the initial forecast of Piraeus Bank for growth of 5.50%, was expressed by the chief economist of the systemic group Elias Lekkos, speaking at the OT Forum.
According to Mr. Lekkos, everything will depend on the duration of the war in Ukraine, which will inevitably affect tourism.
As the Chief Economist of Piraeus Bank explained, if the Russian invasion had not taken place, tourism revenues could have reached as much as 18 billion euros and would have contributed to GDP by 7 billion euros.
However, now the goal is to exceed the 11 billion euros of 2021, something that according to Mr. Lekkos, is possible.
He also highlighted the fact that the EU is moving towards a revision of the Stability Pact, so that the high and anti-growth primary surpluses envisaged by the country’s agreements in 2014 and 2015, are adjusted to lower levels.
In relation to inflation, the Piraeus Bank executive said that the average inflation is expected to reach 6.5% this year, while in the next 2-3 months it is possible for this to go up to 8% -9% .
He noted, however, that one of the reasons for these high rates is the low base compared to 2021, when inflation was, during some months, even negative, as the economy was closed due to the pandemic.
In the basic scenario, according to Mr. Lekkos, the consumer price index will decline from the summer onwards, not only because of the aforementioned technical parameter, but because it is estimated that the geopolitical intensity will decrease and energy prices will be corrected.
Latest News
ELSTAT: Greek Health Expenditures Reach €5.89 Billion in 2022
Finally, healthcare financing as a percentage of GDP decreased to 8.5% in 2022 from 9.18% in 2021, as per the Health Accounts System report.
Sonoco Paper Mill Plants Close After 30 Years in Greece
The shut down of the two paper mills in northern Greece comes a week after a glass plant closed in Athens
BoG: Private Deposits Down by 1.068bln Euros in Feb. 2024
Corporate deposits decreased by 912 million euros, compared to a decrease of 3.167 billion euros in the previous month
Greeks’ Buying Power Second Lowest in the EU
Greeks’ purchasing power is under pressure, ranking 26th among 27 EU member states.
Greek FinMin Says Digital Work Card Tackling Undeclared Work
Greece's recently launched digital work card aimed at tackling undeclared labor has already started to produce results, said Economy and Finance Minister Kostis Hatzidakis
MSC Cruises: More than 400 Visits to Nine Greek Destinations
MSC Cruises, a subsidiary of international shipping line Mediterranean Shipping Company S.A, will be sailing to Greek ports as of this month, expanding operations in the region year-round
Eurostat: Greece Among Cheaper Hourly Labor Cost Zones
In contrast, the countries that posted the highest hourly labor costs are Luxembourg (53.9 euros), Norway (51.9 euros), Iceland
GSEVEE: Economic Sentiment Indicator in Greece Down in Q2 2023
The drop follows a significant uptick in the ESI in the second half of 2022 (69.5 units) and a slight decline in the first half of 2023 (66.7 units)
Manpower Report: Sectors in Greece that Have Achieved Full Gender Equality in the Workplace
Greece surpasses this with 45%, showcasing progress but also room for improvement. Sectors like Consumer Goods and Services lead with 69% reporting full equality globally
Bank of America (BofA): Three Reasons Greek Economy Outperforms EC Average
BofA projects growth of 1.1% in 2024 and 1.7% in 2025, compared to forecasts for eurozone growth at 0.4%/1.1%, respectively