Growth in Greece is forecast to remain above the eurozone and EU average in 2022, 2023, and 2024, according to the European Commission’s winter economic forecasts released today.
Specifically, for Greece, the Commission forecasts growth of 5.5% in 2022, 1.2% in 2023, and 2.2% in 2024. For the Eurozone, the Commission forecasts growth of 3.5% in 2022, 0.9% in 2023, and 1.5% in 2024 compared to EU growth of 3.5% in 2022, 0.8% in 2023, and 1.6% in 2024.
The Commission’s forecasts for the growth of the Greek economy are revised slightly downwards for 2022 compared to those of November (6% was the forecast for 2022) and revised slightly upwards for 2023 and 2024 ( 1% and 2% were the forecast respectively).
Regarding inflation, the Commission estimates that in Greece it was 9.3% in 2022 and predicts that it will decrease to 4.5% in 2023 and 2.4% in 2024. For the Eurozone, the Commission estimates that inflation stood at 8.4% in 2022 and is forecast to fall to 5.6% in 2023 and 2.5% in 2024. In the EU inflation stood at 9.2% in 2022 and is forecast to fall to 6 .4% in 2023 and to 2.8% in 2024.
“The Greek economy registered stable growth in the first half of 2022, but rising inflation affected growth in the second half of the year,” the Commission emphasises in its report on Greece. However, it notes that the Recovery and Resilience Facility (RRF) has provided significant support to the economy, and government measures have reduced the impact of energy prices on business input costs and real household disposable income. “Overall, real GDP growth is expected to reach 5.5% in 2022,” the Commission predicts.