EBRD: Greek GDP growth of 2.4% this year; 2.3% in 2024

The European Bank for Reconstruction and Development (EBRD) on Wednesday forecast a strong economic performance by Greece during the ongoing year, projecting GDP growth at 2.4 percent for 2023 and easing slightly to 2.3 percent in 2024.

Europe’s development bank added that robust economic growth in the east Mediterranean country requires the appropriate use of capital from the EU’s recovery and resilience fund.

The EBRD said a slower growth rate, compared to the previous two-year period, is offset by a strong increase in exports, higher private consumption and a hike in investments. Additionally, the EBRD cited the prospect of another record-breaking year for Greece’s all-important tourism sector in 2023.

Other highlights are a steadily improved PMI index (52.9 points in August 2023) and ESI index (111.7 points last month, a 17-month high), which shows a solid confidence in the economy.

EBRD said unemployment continues to decrease in the country – 10.8 percent in July 2023 – and a rise in exports, by 8.9 percent on an annual basis during the first quarter of 2023 – the latter of which allays concerns over a widening current accounts balance, which totaled 9.7 percent of GDP in 2022.