Economic sentiment moves past crisis


Economic sentiment in Greece soared 4.3 points in July, returning to a level unseen since before the outbreak of the financial crisis, according to European Commission data.

The country’s economic sentiment index climbed to 105.3 points, against 101 points in June. The last time the index had risen above 105 points was in 2007, and only last July did it approach that level, reaching 104.9 points, ahead of Greece’s exit from the bailout programs.

July’s high score is broadly attributed to New Democracy being voted into office, a development that has generated increased expectations, mainly in the business world, that a more investment-friendly economic policy will be implemented.

There was also a considerable improvement in consumer confidence last month, with its index climbing from a negative 27.8 points in June to a negative 20.2 points in July, taking Greece off the bottom of the EU consumer optimism chart.

Sentiment improved across all four main domains of the economy. The business expectations index for retail commerce also climbed considerably last month, to 13.7 points from 9.2 points in June.