RRF is precious for growth
The expansion rate of the economy this year would have been just over 1% (compared to the 2.5% predicted in the new Stability Program 2024-2025) were it not for the resources of the Recovery and Resilience Fund, senior National Economy and Finance Ministry officials acknowledge, confirming the key role of the RRF for the Greek economy.
This assessment also demonstrates that the convergence with Europe may take a long time if the Greek economy does not acquire its own growth potential by the end of the RRF, in mid-2026.
It is noted that GDP in the European Union is expected to increase by 0.8% in 2024 and 1.5% in 2025, so the difference is not big compared to forecasts for Greece if the effect of the fund is removed, against estimates now for 2.5% in 2024 and 2.6% in 2025. The first requirement is to absorb the available funds in time and quickly allocate them to the real economy.
According to the Stability Program, the ministry submitted the receipts of the RRF’s grants on Wednesday in Brussels, which are predicted at 1.5% of gross domestic product this year, 2% of GDP in 2025 and 2.7% of GDP in 2026.
