February 27, 2021

The Greek Government foresees an economic fall of 4.7% due to COVID-19

The Greek government predicts that the COVID-19 pandemic will lead to a 4.7% contraction in the economy this year, a much more moderate figure than the 10% collapse seen by the International Monetary Fund (IMF) in its recent projections. .

According to the Stability Plan of the Ministry of Finance sent to Brussels, in 2021, on the other hand, there will be a clear rebound and the gross domestic product (GDP) will grow by 5.1%.

Unemployment will rise more than two percentage points this year and from 17.3% of the active population in 2019 it will rise to 19.9%, before falling back to 16.4% in 2021, “as long as the efforts are successful to support affected companies and save jobs “, approved by the Government during this crisis.

In addition to a 4.1% drop in private consumption, the main drop will come from the trade balance, with a foreseeable drop in exports of 19.2%, and 14.2% in imports.

According to the aforementioned forecasts, prices will fall by 0.3% in 2020 and rise by 0.6% in 2021.


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