Friday, March 18, 2011
The Greek economy is moving generally as predicted, according to an International Monetary Fund report released on March 16.
The report – that was approved by the Fund’s Board upon the disbursement of the fourth tranche of the EU/IMF loan to Greece – said that Greece has managed to cut the fiscal deficit by 5.75% to 9.5% of GDP, adding that the country has made further progress in achieving its medium-term targets set for the restructuring of the economy.
The IMF notes that major changes and reforms were still needed to ensure fiscal viability and economic growth, especially in the banking sector, although reforms have already made progress in other sectors.
IMF: Greece: Third Review Under the Stand-By Arrangement; Greek News Agenda: Economy: Positive Signals
- Eurostat: Labour Cost Drops
Greece presented the highest labour cost decrease in both the Eurozone and EU, according to a 2010 fourth quarter hourly labour cost report released by Eurostat on March 16.
More specifically, Eurostat data shows that the annual labour cost decreased by 6,5% in Greece, compared to 2009, while the average hourly labour cost in the Euro area rose by 1.6% in the year up to the fourth quarter of 2010, and by 2% in the EU area. For the 2010 fourth quarter the labour cost decrease observed in Greece reached 5,5%, while eurozone and EU averages rose respectively by 1,4% and 1,9%.
Eurostat: Hourly Labour Cost Indicators
