Greece’s economy forecast to grow by 2.8 percent in 2020

Greece expects its economy to grow by 2.8 percent in 2020 whilst respecting fiscal pledges to the country’s creditors, said a draft budget released on Monday.

The draft submitted Monday to parliament includes growth forecasts of 2.0% and 2.8% for 2019 and 2020 — above the European Commission’s forecast of 2.2% growth in Greece next year.

The draft also forecasts an unemployment fall to 15.6 percent from 17.4 percent this year, the finance ministry said.

EU-IMF creditors want Greece to pursue economic and fiscal reforms and privatisations and achieve primary budget surpluses – which exclude government debt interest payments – worth 3.5 percent of GDP in the coming years.

Prime Minister Kyriakos Mitsotakis wants to renegotiate this target with the creditors — but has agreed to retain it in 2020 to the tune of 3.56 percent, the ministry said.

Emerging from its third straight bailout last year, it has a public debt of more than 180 percent of gross domestic product and remains under strict supervision by its creditors.