FinMin – The forecast for growth of 4.3% in 2021 is possible

Despite the adverse conditions, in the last 18 months, “the Greek economy has resisted” and “the way is open for a smooth and strong recovery”, said the Minister of Finance, Christos Staikouras, speaking to the Committee on Economic Affairs of the European Parliament today in Brussels.

Mr. Staikouras pointed out that Greece will be able to achieve economic growth of 3.6% in 2021. “It is realistic and completely feasible and we will probably do better,” he said, noting that there has been a significant improvement in tourism and economic activity. As he said, according to the forecasts of the European Commission, Greece will achieve growth of 4.3% in 2021.

The Minister of Finance stressed that in order to achieve high and sustainable growth, the “key” is the implementation of an economic policy in favor of cohesive growth. “That is why we have built an economic strategy with specific and realistic goals,” he said, noting that we must achieve high levels of growth in 2021 and beyond, improve the elements that make up GDP, increase investment and exports from 2021 and all these goals, he stressed, will be achieved by implementing an economic policy based on seven pillars, including targeted support for households and businesses, the continuation of tax cuts, the maintenance of high level of liquidity and the timely and efficient use of European funds.

Moreover, Christos Staikouras pointed out that Greece was the second country to submit the recovery and resilience plan to the European Commission and one of the first to secure the green light from EKOFIN and the pre-financing of 4 billion euros from the Recovery Fund. Mr. Staikouras said that the Greek government is creating conditions for a strong long-term recovery, as evidenced by the European Commission’s forecasts for 6% growth in 2022.

“Greece’s GDP growth will be higher than the EU average of 4.5%,” he said, adding that exports to Greece are expected to increase by 8% in 2022, compared to an average of 0% in the eurozone. Also the increase of investments in Greece predicted by the European Commission is almost 15%, while in the eurozone the average is an increase of 5%.

Finally, the Minister of Finance stated that the Greek government is determined to continue working hard and effectively, implementing policies that will create a more resilient and sustainable landscape and with the participation of all, after the coronavirus pandemic.