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Πέμπτη, 05 Απριλίου 2018 22:32

Wood & Company sees lower Greek GDP growth than IMF, Commission forecasts

Wood & Company forecasts lower GDP growth rates for Greece in 2018 and 2019 than the ones already unveiled by the IMF and the EU Commission, predicting a 1.9-percent hike this year and 2.1 percent next year.

Wood & Company forecasts lower GDP growth rates for Greece in 2018 and 2019 than the ones already unveiled by the IMF and the EU Commission, predicting a 1.9-percent hike this year and 2.1 percent next year.

In a report, Wood refers to a stable and reasonable recovery, which may not be strong but is not weakening, either.

One the one hand, the international investment bank sees an improvement in corporate profits from increased competitiveness, which in turn create new job spots and support exports.

Conversely, low spending by households, the result of depleted savings, as well as reduced revenues and still contained state spending are cited as limitations to growth.

The improvement in competitiveness is due to better industrial indices; growing FDIs and continued indications that labor costs remain at central and eastern Europe levels.