Friday Jan 30, 2015 Search
Weather | Athens
16o C
13o C
News
Business
Comment
Life
Sports
Community
Survival Guide
Greek Edition
Greek central bank says domestic reforms must continue

Greece needs to focus on cutting government spending and improving the tax administration over the next five years, the central bank said on Thursday, echoing the country's international lenders.

In its twice yearly monetary policy report, the Bank of Greece maintained its forecast that the 183 billion euro economy would expand by 0.5 percent this year.

But it also warned that there was no room for "complacency" on the country's reform drive and said lowering the tax burden on firms and individuals would help investments to recover.

"To avert risks, reforms and the economy's restructuring must continue with stronger decisiveness in all areas," the report said.

"Any backtracking or reversal of the current policy would lead to a new exclusion from the markets and bring back the country to a phase of economic instability," the Bank of Greece said.

Greece's economy, set to emerge from a six-year recession this year, could even top the bank's forecast of mild growth if confidence in the country's prospects continued, the bank said.

Its forecast is just shy of the government and the country's EU/IMF lenders' estimate of 0.6 percent growth.

After years of harsh austerity Greece has corrected its so-called twin deficits - its budget and current account gaps - and managed to return to bond markets after a four-year exile by raising 3 billion euros from the sale of a five-year bond.

The Bank of Greece said confidence in the economy's prospects is gradually recovering with markets discounting an exit from its worst peacetime financial crisis.

It said consumption, the main driver of gross domestic product, is stabilizing and rising revenue from tourism should help boost economic activity this year. But recovery will also require a rise in investment and faster growth in exports.

Greece's economy shrank 0.9 percent in the first quarter from a year earlier, its slowest pace since late 2008 when its protracted recession began, supporting projections that Athens will emerge from a crippling six-year slump this year.

While both consumption and net exports rose year-on-year, gross capital investment fell 7.9 percent. [Reuters]

ekathimerini.com , Thursday June 12, 2014 (15:52)  
New Greek gov’t to avoid clash with shippers
Cypriot Parliament extends repossessions suspension
Association of Bilateral Hellenic-European Chambers of Commerce launched in Greece
Grim news reverses early gains among Greek stocks
Judges´ report on Golden Dawn case expected next week
A final decision by the Council of Appeals Court Judges weighing the merits of the case against ultranationalist party Golden Dawn is expected next week, marking the final step for the case ...
Top Greek court OK´d 3,690 civil service hirings before elections
A total of 3,690 people were hired by the previous Greek government and local authorities in the pre-election period, Kathimerini understands. The hires were approved by the Council of State...
Inside News
SOCCER
Gattuso: Unpaid OFI players couldn´t buy food
Former coach Gennaro Gattuso has lifted the lid on the plight of crisis-club OFI Crete which has been banned from playing in the Super League until it clears mounting debts with its staff. T...
SOCCER
Olympiakos draws AEK in Cup quarterfinals
The dream draw of Olympiakos vs AEK in the quarterfinal materialized on Friday, as two of the capital's three giants will face off in a two-leg tie for a place in the semifinals of the Greek...
Inside Sports
INTERVIEW
SYRIZA must come up with ‘pragmatic solutions,’ Schulz tells Kathimerini
“SYRIZA must realize that it is now the Greek government, not a party running an election campaign,” European Parliament President Martin Schulz, the first European official to visit Greece ...
COMMENTARY
Strange haste
The members of the new government must have a lot of confidence in themselves. Several days before announcing his program, Prime Minister Alexis Tsipras and his cabinet have opened up a mult...
Inside Comment
SPONSORED LINK: FinanzNachrichten.de
SPONSORED LINK: BestPrice.gr
 RECENT NEWS
1. Judges´ report on Golden Dawn case expected next week
2. New Greek gov’t to avoid clash with shippers
3. Cypriot Parliament extends repossessions suspension
4. Association of Bilateral Hellenic-European Chambers of Commerce launched in Greece
5. Grim news reverses early gains among Greek stocks
6. Top Greek court OK´d 3,690 civil service hirings before elections
more news
Today
This Week
1. SYRIZA must come up with ‘pragmatic solutions,’ Schulz tells Kathimerini
2. Why Greece went left while Europe turns to right
3. Capital flees Greece at fastest pace since 2011
4. Greek government's signals very mixed, ECB's Jazbec says
5. Monastiraki restaurant fire prompts panic, restricted before spread
6. EU's Schulz: Greece should follow EU line on Russia
Today
This Week
1. Greek Elections 2015 | LIVE
2. SYRIZA heads for historic victory but without majority
3. Greek Elections 2015 | LIVE
4. Greek Elections 2015: The day after | LIVE
5. SYRIZA's win will test institutions
6. Poll shows SYRIZA leading ND by 4 pct
   Find us ...
  ... on
Twitter
     ... on Facebook   
About us  |  Subscriptions  |  Advertising  |  Contact us  |  Athens Plus  |  RSS  |   
Copyright © 2015, H KAΘHMEPINH All Rights Reserved.