IOBE cautions gov’t over favoring self-employed in social security reform


Greece’s economy will expand by 2.2-2.5 percent this year, but won't make the government target of 2.8 percent, Foundation for Economic and Industrial Research (IOBE) General Director Nikos Vettas warned on Wednesday.

Presenting IOBE’s quarterly report on the economy, Vettas said that while business sentiment and consumer confidence are at historic highs, the economy continues to suffer from structural problems, with a weak production base and high external public debt.

He also cautioned that interventions in the social security system favor the self-employed and small entrepreneurs more than salaried employment, which runs counter to productivity growth.