Economic growth in Greece is set to accelerate, according to BMI Research, a subsidiary of Fitch Solutions, as the firm raised its estimate from its initial 1.6% forecast for 2024 to 2.4%, noting that consumption and investments, aided by the financing from the EU’s Recovery Resilience Fund, will be the driving forces behind the expansion.
As the research firm explained, Greece’s GDP expanded by 0.2% in the fourth quarter of 2023, following a 0.1% contraction in the third quarter, resulting in an annual growth rate of 2% for 2023 (BMI forecast: 1.9%). In this context, it raised its growth forecast for 2024 from 1.6% to 2.4%, as key growth drivers exceeded expectations.
The increase in private consumption accelerated faster than anticipated, rising by 1.4% quarterly in the last quarter of 2023, while exports also provided an upward surprise, recording a 0.4% increase (compared to BMI’s expectations for a contraction).
Comparatively better prospects for exports are one of the main factors behind the upward revision of Greece’s growth prospects for 2024, as the mild growth in the eurozone was expected to be the most significant brake on production, explains BMI.
The Role of Private Consumption
Private consumption will add 1.4 percentage points to growth in 2024 and 3.3 percentage points in 2025, as disposable income is boosted by increases in business wages and the decline in inflation.
Inflation has de-escalated significantly during 2023, dropping from a peak of 12.1% in September 2022 to 3.2% in February 2024.
Source: tovima.com
στο Google News και μάθετε πρώτοι όλες τις ειδήσειςLatest News
Greek €200M 10Y Bond to be Issued on April 16
The 3.875% fixed-interest-rate bond matures on March 12, 2029, and will be issued in dematerialized form. According to PDMA, the goal of the re-issuance is to meet investor demand and to enhance liquidity in the secondary bond market.
German Ambassador to Greece Talks Ukraine, Rise of Far Right & Tariffs at Delphi Economic Forum X
Commenting on the political developments in his country, the German Ambassador stressed that it was clear the rapid formation of a new government was imperative, as the expectations across Europe showed.
Athens to Return Confiscated License Plates Ahead of Easter Holiday
Cases involving court orders will also be excluded from this measure.
Servicers: How More Properties Could Enter the Greek Market
Buying or renting a home is out of reach for many in Greece. Servicers propose faster processes and incentives to boost property supply and ease the housing crisis.
Greek Easter 2025: Price Hikes on Lamb, Eggs & Sweets
According to the Greek Consumers’ Institute, hosting an Easter dinner for eight now costs approximately €361.95 — an increase of €11 compared to 2024.
FM Gerapetritis Calls for Unified EU Response to Global Crises at EU Council
"Europe is navigating through unprecedented crises — wars, humanitarian disasters, climate emergencies," he stated.
Holy Week Store Hours in Greece
Retail stores across Greece are now operating on extended holiday hours for Holy Week, following their Sunday opening on April 13. The move aims to accommodate consumers ahead of Easter, but merchants remain cautious amid sluggish market activity.
Green Getaway Ideas for Easter 2025 in Greece
Celebrate Easter 2025 in Greece the sustainable way with eco-farms, car-free islands, and family-friendly getaways rooted in nature and tradition.
Civil Protection Minister Details Summer Firefighting Plans at Delphi Forum
At the 10th Delphi Economic Forum, Minister of Climate Crisis and Civil Protection Yiannis Kefalogiannis discussed Greece's plans for the upcoming fire season.
How Shops and Markets Will Operate During Easter Holy Week
The Easter holiday schedule has been in effect since April 10, with retail stores open Palm Sunday, and most supermarkets also operating to meet consumer demand for Easter shopping
