Greece: Recession in 2013 and Slow Recovery in 2014

IMFThe Greek economy is expected to shrink by 4,2% this year and to show a positive growth rate of 0,6%, according to the International Monetary Fund’s new World Economic Outlook.

The IMF expects a negative inflation rate of 0,8% for this year and 0,4% for 2014, with the current account deficit to be drastically reduced to 0.3% of the GDP this year and to be turned into a surplus of 0,4% in 2014.

Unemployment will be consistently high both in 2013 and 2014. According to IMF’s analysts, the unemployment rate will be 27% for 2013 and in 2014, an imperceptible decline to 26% is expected.

As regards Eurozone, IMF notes that despite the improvement of economic prospects observed over the last months, the heavily indebted countries should not “relax” their fiscal consolidation efforts.