Arab Today, arab today greek economy heading for 7 tumble
Last Updated : GMT 18:35:19
Arab Today, arab today
Arab Today, arab today

Greek economy heading for 7% tumble

Arab Today, arab today

Arab Today, arab today Greek economy heading for 7% tumble

Athens - Arabstoday

Greece’s crippled economy will fall a steeper-than-expected 6.9% this year, a think-tank formerly run by the new finance minister said yesterday, a tumble that will hamper efforts to cut the deficit and bring yet more pain to Greeks. Such a decline would mean Greece’s economy has shrink by a fifth since the end of 2007. It was underlined by data showing the construction sector still in a deep slump. The growth forecast, from the Foundation for Economic and Industrial Research (IOBE), could give Athens more ammunition as it tries to persuade eurozone partners and the IMF funding its 130bn euro rescue package to ease up on the austerity measures it blames for deepening the recession. Headed by Yannis Stournaras until he became finance minister last week, IOBE said the government could follow a 100-day programme to kick-start the economy that included paying arrears on more than 6bn euros the state owes the private sector, and funnelling available funds to large infrastructure projects. Greece’s new conservative-led coalition government has promised to bring its economic reform programme back on track through privatisations and long-discussed reforms in a bid to show it means business and regain credibility with lenders. In April, IOBE had projected a 5% GDP slump for this year. In its fifth year of recession, the economy shrank 6.9% in 2011. “If our recession forecast is confirmed, we will have lost about 20% of our GDP in the last five years,” said IOBE economist Angelos Tsakanikas. “The situation in the construction sector is dramatic. Just 0.04% of the population plan to buy a home this year based on responses to a survey - that’s about 3,500 people, very low,” he said during a presentation of the quarterly report. Fresh data by the country’s statistics service Elstat yesterday showed the slump in construction, a growth driver in the years that preceded the debt crisis, continued unabated in April. It said building volume was down 27.3% year-on-year that month. Tighter bank credit coupled with cuts in wages and pensions have squeezed household disposable incomes, weakening demand for new homes, while a property levy to fill state coffers has also taken a toll. Also raising its forecast for unemployment to 23.6% from 20%, IOBE said much would depend on consumer spending in the rest of the year. Household budgets will be squeezed by a deteriorating labour market, falling wages and additional measures that may be imposed to shore up public finances. IOBE’s gloomier outlook is bleaker than EU Commission and IMF projections, which respectively predict the €215bn economy will contract 4.7 to 4.8% this year. It is also more pessimistic than forecasts of 5.3% by the Organisation for Economic Co-operation and Development and 5% by the Bank of Greece. from gulf times.

arabstoday
arabstoday

Name *

E-mail *

Comment Title*

Comment *

: Characters Left

Mandatory *

Terms of use

Publishing Terms: Not to offend the author, or to persons or sanctities or attacking religions or divine self. And stay away from sectarian and racial incitement and insults.

I agree with the Terms of Use

Security Code*

Arab Today, arab today greek economy heading for 7 tumble Arab Today, arab today greek economy heading for 7 tumble

 



Arab Today, arab today

Name *

E-mail *

Comment Title*

Comment *

: Characters Left

Mandatory *

Terms of use

Publishing Terms: Not to offend the author, or to persons or sanctities or attacking religions or divine self. And stay away from sectarian and racial incitement and insults.

I agree with the Terms of Use

Security Code*

Arab Today, arab today greek economy heading for 7 tumble Arab Today, arab today greek economy heading for 7 tumble

 



Arab Today, arab today France defies terrorism through tourism

GMT 15:18 2017 Saturday ,20 May

France defies terrorism through tourism
Arab Today, arab today Zainab Fadel Oglu designs “Shakerin” mosque

GMT 12:13 2017 Thursday ,11 May

Zainab Fadel Oglu designs “Shakerin” mosque
Arab Today, arab today Seeks to move past rift with Israel

GMT 08:00 2017 Monday ,08 May

Seeks to move past rift with Israel

GMT 17:28 2017 Thursday ,18 May

Saudi stocks rise in heavy trading

GMT 21:37 2017 Wednesday ,17 May

US Stocks Close Mixed

GMT 04:58 2017 Wednesday ,17 May

Tadawul index gains 0.7%

GMT 06:20 2017 Tuesday ,16 May

Tadawul index climbs 0.6%

GMT 13:43 2017 Monday ,15 May

Oman share index declines marginally
View News in Arabic - Business: أسواق مالية
Arab Today, arab today
Arab Today, arab today
Arab Today, arab today
Arab Today, arab today
 
 Arab Today Facebook,arab today facebook  Arab Today Twitter,arab today twitter Arab Today Rss,arab today rss  Arab Today Youtube,arab today youtube  Arab Today Youtube,arab today youtube
arabstoday arabstoday arabstoday arabstoday
arabstoday arabstoday arabstoday
arabstoday
بناية النخيل - رأس النبع _ خلف السفارة الفرنسية _بيروت - لبنان
arabstoday, Arabstoday, Arabstoday