Finance Ministry targets growth recovery

Last year closed with the general government debt at 338 billion euros and cash reserves at €31 billion. The Finance Ministry is now waiting for the final figures on the 2020 gross domestic product and the extent of the recession to establish how far above the 200% level the ratio of debt to GDP will rise.

If the forecast that GDP contraction has not exceeded 10.5% proves correct, meaning that the economy will drop to lows unseen since 2002 - to €162-163 billion - Greece will begin its effort to ease the debt-to-GDP ratio from the level of 207%-208%. For 2021 the entire effort will focus on confirming the projection for an economic rebound over 4.5%, so that the GDP reverts to at least €172-173 billion and the debt-to-GDP ratio is contained below the 200% mark. Therefore, all the effort will be on the denominator. As for the debt, the outlook appears clear.

The Public...

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