Greek economy shrank by 7.2 pct in Q3, pointing to worse than expected recession

Greece’s economy contracted by 7.2 percent of gross domestic product in the third quarter of this year, according to data published by the Hellenic Statistical Authority (ELSTAT) on Wednesday.

“Available non-seasonally-adjusted data indicate that, in the third quarter of 2012, the Gross Domestic Product (GDP) at constant prices of year 2005 decreased by 7.2% in comparison with the third quarter of 2011,” ELSTAT said.

This represents the deepest contraction so far this year, as the economy shrank by 6.7 percent in the first quarter and 6.3 percent in the second, according to revised figures presented by ELSTAT

The figure could yet be revised but puts in doubt the Finance Ministry’s estimate of a 6.5 percent overall contraction of the economy this year.

ELSTAT also revised figures for previous years’ contraction, leading to recession figures for 2010 and 2011 showing an even deeper recession than previously though.

GDP contraction for 2010 was revised to 4.9 percent from 3.5. For 2011, it increased from 6.9 percent to 7.1.