The business cycle

Greece: Returns to growth

By June 22, 2018 December 11th, 2018 No Comments

We spent some time in Athens recently, speaking with local policymakers and investors, and just observing how life is progressing in Greece these days. We came back with a more positive outlook for the country in the long run given falling policy and political risks in the coming years and greater continuity of reforms.

 Our current assessment of potential growth for Greece is close to zero, but we see it rising towards 1.5% by the end of the decade as the benefits from the balance sheet restructuring and the structural reforms will deliver growth benefits.