Scope Ratings Upgrades Greek Economy to BBB
The Greek Minister of National Economy and Finance, Kostis Hatzidakis, expressed his satisfaction with Scope's upgrade of the Greek economy.
The Greek Minister of National Economy and Finance, Kostis Hatzidakis, expressed his satisfaction with Scope's upgrade of the Greek economy.
The digitalization of transactions and measures introduced by the Ministry of Finance, such as the imputed taxation of professionals, generated an additional 1.8 billion euros.
Therefore, there is need for policy interventions in order to boost demand, stabilize the labor market and support industrial production
By 2026, the reduction in public debt is expected to bring it close to 140% of GDP.
A significant part of this surplus is attributed to the receipt of €3.2 billion in October from the new concession agreement for the Attiki Odos
Fitch is expected to release its evaluation of the Greek economy on Nov. 22, with a possible scenario being an upgrade of the economy from “stable” to “positive”
Once at risk of default, Greece has made notable progress in debt reduction over the past few years
Major issues that are expected to intensify if not addressed, include the high current account deficit, the substantial investment gap, low productivity, and the question of long-term growth
GDP at constant prices reached €196.984 billion in 2023, up from €192.495 billion in 2022, ELSTAT said
A major issue of concern is how the Israel-Iran conflict will play out with pundits projecting a surge in oil prices
For 2024, the growth rate of the Greek economy is now expected to reach 2.14%, up from the previous estimate of 2.09%
At present, Moody’s rates Greece at Ba1, one notch below investment grade, with a stable outlook for reassessment.
They estimate the current potential GDP growth around 3%, supported by robust private sector finances and a stable public sector budget, which helps keep borrowing costs in check
The Canada-based credit rating agency, however, lowered its GDP prediction to 2.2% for 2025
Both foreign and domestic investors are seizing the moment, ushering in a wave of significant deals across various sectors like banking, technology, food, energy, logistics, and hospitality.
The available non-seasonally adjusted data indicate that in the 1st quarter of 2024 the Gross Domestic Product (GDP) in volume terms increased by 1.9% in comparison with the 1st quarter of 2023
The data shows that Greece ranks seventh in overall inflation within the eurozone and second in food inflation
Goldman Sachs sees an upgrade of the Greek stock market
However, the OECD highlights challenges including the need to enhance productivity and fiscal adjustment due to high debt levels.
Nevertheless, the article also highlights some of the challenges facing the country, with a falling birthrate and labor shortages posing a threat to the long-term outlook
As the analysis notes, the long-term trend of household forecasts for their economic situation and unemployment is favorable, reaffirmed by their intentions for significant purchases and savings
Investments and private consumption are expected to be the key drivers of economic activity in the coming years
KEPE underlines that the implementation of important reforms and investments through the utilization of funds from the Recovery and Resilience Facility and the new ESPA also play a role in the more positive outlook of the country’s economy
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