Greek Central Bank Boosts GDP Growth Forecast For 2023

The Greek economy is expected to grow by 2.2 percent in 2023, higher than previous projections, the governor of the country's central bank (BoG) said on Friday, trend reports citing Xinhua .

The 2023 state budget, passed in December last year, projected a 1.8 percent increase in gross domestic product (GDP) growth for this year.

Despite successive crises, the Greek economy has shown remarkable resilience in recent years, BoG governor Yannis Stournaras said while presenting his annual report. This is due to continued implementation of reforms and credible policies, he underlined.

Inflation is expected to drop to 4.4 percent in 2023, down from 9.3 percent in 2022. This reflects an expected decline in energy prices, said the report.

Meanwhile, the general government budget will return to a primary surplus of 0.7 percent of GDP in 2023, after three consecutive years of deficits.

An unfavorable international macroeconomic environment had cast a shadow over the outlook for the Greek economy in 2023, said Stournaras, adding that continued credible policies would be required to meet these challenges.

"The greatest risk to the prospects of the Greek economy, at a time of successive crises and elevated uncertainty, would be the loss of economic policy credibility," he warned.