ECONOMY

BoG sees great benefit from omnibus bill

bog-sees-great-benefit-from-omnibus-bill

The Bank of Greece estimates that the impact of the investment incentives bill currently being debated in Parliament will amount to a 5-percentage point increase in gross domestic product, a 3.6-percentage point rise in employment, along with a reduction in undeclared labor, while investments will increase by 4.9 percentage points over the next decade.

The effects the central bank expects from the bill hinge on the assumption that the reforms introduced will be permanent and applied in full, without delay.

The assessment of the bill’s impact is based on the analysis of labor market changes, especially those concerning unions and an increase in inspections against undeclared labor. Other key elements are reforms to boost productivity and competition in products markets.