Greece catches the eye of big business as resurgent economy



According to a Financial Times (FT) article on Wednesday, Greece’s improving economy has caught the eye of BlackRock, the world’s biggest asset management corporation.

An analysis by BlackRock gave a positive appraisal of the Greek banking sector and describes Greece as “resurgent” noting potential opportunities for investors in Greek stocks that have “room for substantial improvement”.

This comes on the same day the Greek Government announced its optimism that the  Greek economy is on a positive and uninterrupted course and is expected to register close to 2 percent in growth in 2017 and reach 2.4 percent growth in 2018.

A successful return to financial markets after a review of Greece’s third bailout “will unlock significant investment demand,” BlackRock’s analysis says, while it also sees possibilities for the country’s inclusion in the European Central Bank’s bond-buying stimulus policy.

Quoted in the FT article is Chris Colunga, co-manager of BlackRock’s Emerging Europe PLC, who notes that inclusion in the ECB bond programme and a “pick-up in economic growth” means Greek banks could move away from doubts about their solvency.

GCT Team

This article was researched and written by a GCT team member.