ECONOMY

BoG report to push for adherence to reforms

The Bank of Greece will publish the Governor’s Annual Report on Tuesday, which is set to forecast the country’s return to growth in 2014, after six years of recession, Kathimerini understands.

However, the report will warn that for the economy to start to rebound, it is essential that the major structural changes and reforms are implemented and the the adjustment program is adhered to.

According to Bank of Greece Governor Giorgos Provopoulos, the return to growth in 2014 will rest on four main pillars: the favorable contribution of the exports and tourism sectors, increased investment in construction – beginning with restarting four major highway projects, faster utilization of European subsidies, and an acceleration in the privatizations program.

The BoG report will also note that now is the time for changing the country’s growth model with the transfer of investment funds to exporting sectors of the economy. If that is implemented, it will further boost economic growth. The government must broaden the tax basis as the BoG will further warn that Greeks simply cannot pay any more taxes.