BoG: Greece GDP Growth at 2.5% in 2024, 2025; Easing to 2.3% 2026

The Bank of Greece (BoG) on Friday forecast continued Greek economic growth this year and 2025, followed by slight slowdown in 2026.

The forecasts were listed in the “Note on the Greek Economy” report on the state of the domestic economy.

Specifically, the BoG forecast that last year witnessed GDP growth of 2.4%, and is expected to rise marginally to 2.5% in 2024 and 2025. The figure is forecast to slightly decrease to 2.3% in 2026.

The BoG said private consumption and investments are expected to again fuel GDP growth. At the same time, monetary policy will remain tight over the period, with public investments to significant impact growth due to funding from the EU’s Recovery and Resilience Facility (RRF).

Specifically, private consumption is forecast to by 2.0% on average during next three-year period.
The BoG said exports will continue to grow at a significant rate over the coming years but at a slower pace compared to 2022, due to an expected weakening of economic activity in the euro area and the related competitiveness losses as a result of higher ULCs.

The unemployment rate is expected reach 11.1% in 2023 (the annual average), gradually easing to 8.2% in 2026. This trend reflects the continued recovery of economic activity.

The entire report is here:

Note_on_the_Greek_economy_2024_03_01_final.pdf (bankofgreece.gr)

Source: tovima.com