The IMF estimations on the difficult situation in the Greek economy merely come to confirm what the people and businesses experience on a daily basis. However the Fund’s rather adverse predictions regarding a 5.4% recession in the final trimester of the year, which also approximate the government estimations in the budget draft, suggest an exacerbation of the situation.
It is obvious that the political instability of the previous months and capital controls had a dramatic impact on the economic sentiment, with the consequences now more visible, now that the tourist season – the Greek economy’s lifeblood – is coming to an end. The time wasted until the government decided to sign the agreement with the creditors had a dramatic effect on the economy. As a result, the IMF report shows that the economy next year will remain in a recession, with the only glimmer of being a small growth rate in the final trimester of 2016.
Given this situation in the economy and the people running out of strength it is clear that the only option the government has is to move forward to implement the agreement as quickly as possible. It is the only way to end the uncertainty, so that the financial and political climate may begin to stabilize, which in turn will help kick start the economy.
Good intentions and the Prime Minister’s given choice do not seem to be enough. It is necessary for the government apparatus to mobilize and prove that beyond any ideological qualms that the agreement with the creditors is not hard labor, but a necessary and capable agreement for our country to hope for better days.
TO VIMA
