Bank of Greece Chief: Economy on a Growth Track



The Greek economy is on a steady upward trajectory, but there is no room for complacency or a relaxation of efforts, Bank of Greece Governor Yannis Stournaras said on Thursday evening, at an event organized by the British Hellenic Chamber of Commerce.

“The Greek economy is currently on a growth track. It is now safe to predict that economic activity will continue to pick up at a stronger pace in the near term,” he said.

Stournaras forecast that economic activity will continue to pick up at a stronger pace in the near term.

In 2017 as a whole, the Bank of Greece estimates that GDP will increase by about 1.7 percent, while in 2018 and 2019, growth is projected to gather pace and quicken to 2.4 percent and 2.7 percent respectively, driven by rising investment, consumption and exports of goods and services, he said.

The forecasts of the central bank are based on the assumption that the reform and privatisation program will be implemented consistently and according to schedule.

He also urged a speedy conclusion of the bailout performance review, warning that delays, as was the case with the first and second reviews, must be avoided.

Delays could trigger a new cycle of uncertainty, leading to the suspension of investment plans and undermining the economy’s growth momentum.

“This would weaken the prospects for sustainable access of the Greek sovereign to international capital markets after the end of the (bailout) programme in August 2018,” Stournaras said.