The Greek Economy Contracted in the Third Quarter of 2015



    Euro_coins_economy_eurozone_money_banknotesThe Greek economy shrank in the third quarter of 2015 according to preliminary data released by the Hellenic Statistical Authority (ELSTAT) on Friday.

    After six quarters of year to year growth, Greece’s GDP fell during the third quarter of 2015 by 0.4%, in comparison to the third quarter of 2014. The last time the Greek economy had a negative year to year performance was in the fourth quarter of 2013.

    The country’s GDP also fell by 0.5% from the second quarter of 2015. The Greek economy grew during the first two quarters of 2015, after contracting in the fourth quarter of 2014. The third quarter’s reduction was the highest since the first quarter of 2013.

    In late June, the Greek government imposed capital controls while banks were shut down for three weeks resulting in restrictions on liquidity and transactions. Capital controls are still in effect today, with the Greek government expecting to lift them in mid-2016.