Greek Businesses to Thrive in 2024 and which to Face Decline

The Greek economy faces challenges starting from 2024, despite recording positive growth rates in GDP. There are sectors that have slowed down growth rates in 2023, those experiencing positive momentum, as well as those that have turned negative based on economic indicators.

Regarding the industry sector in December, 50% of businesses considered predicting the future growth of the industry difficult compared to 55% in November. Τhe economic climate index declined in December, standing at 106.0 units, down from 106.4 units in November.

Regarding retail economic activity, the volume in retail trade (excluding fuels) has turned negative, while inflation is on the rise. According to the latest data, the sales volume in the retail trade of Greece in October decreased by 6.3%, as turnover declined in all individual stores. As announced by ELSTAT, the general volume index (turnover in constant prices) in retail trade showed a decrease of 6.3% in October 2023 compared to the corresponding index in October 2022, while it recorded a decrease of 3.3% compared to the index of September 2023.

However, what is recorded as a paradox is that construction has experienced an increase. The data indicates that private construction activity has grown, but housing loans, or credit expansion, is in the negative. Adding to this equation is the fact that loans to businesses have a positive sign.

Adding to this complex economic environment is the fact that the consumer confidence index has also declined. According to the market’s average estimate, the real GDP in Greece is estimated to have strengthened by 2.3% in 2023, while a growth slowdown to 2.0% is projected for 2024.