ELSTAT announces drop in GDP from last year

Posted by Christian J. Hadjipateras 06/03/2018 27 Comment(s) Economia Blog,

The economy performed worse than expected last year. The Hellenic Statistical Authority (ELSTAT) released figures yesterday put the expansion of the country’s gross domestic product at just 1.4% compared to 2016. The government and its creditors had anticipated annual growth of 1.6%, thus raising concerns about the future, especially as the bailout program is currently due to end in August.

 

Economists are anticipating that growth this year will not exceed 2%, compared to a forecast for 2.5% in the 2018 budget. If GDP continues to fail to meet expectations then that is likely to have a negative impact on fiscal measures.

 

Michalis Masourakis, chief economist at the Hellenic Federation of Enterprises also referenced weaker consumption: “This is a growth rate dominated by weak household consumption, while the 9.6 percent increase in investments was mainly related to tourism and logistics,” he told the Kathimerini.

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