The International Monetary Fund publicized its World Economic Outlook for April 2015 report on Tuesday, according to which the Greek economy is expected to grow by 2.5% and by 3.7% in 2016.
Furthermore, the IMF estimated that the rate of unemployment will drop to 24.8% in 2015 and 22.1% in 2016. The current account balance is expected to remain in surplus, albeit down to 1.4% GDP for 2015 and 1.1% GDP for 2016. The rate of deflation will drop to 0.3% in 2015, while in 2016 a 0.3% inflation rate in expected.
According to the IMF’s report, the pressure on the Eurozone which was caused by the political uncertainty in Greece, in conjunction with other political upheavals in the Eurozone, could highlight the ties between banks, public debt and the real economy.
The report also stresses that the uncertainty over the Eurozone’s commitment to address the financial challenges are likely to have a negative effect on trust.
The IMF’s report is available online.
