Convergence with eurozone to take more than 20 years, BoG governor says
The Greek economy will continue to grow at a satisfactory rate, higher than the eurozone average, as long as economic policy continues on the same path of reforms, along with efficient use of available European resources and fiscal responsibility, according to the governor of the Bank of Greece, Yannis Stournaras.
In an interview with Kathimerini he claims, however, that the convergence will take more than 20 years with the current growth rates, based on the calculations of the Bank of Greece.
He warns, moreover, that “reform fatigue is the biggest challenge in further strengthening the resilience of the Greek economy.”
The central banker estimates that the growth dynamics of the economy will continue in the coming years, with rates of 2.2% in 2024, 2.5% in 2025 and 2.3% in 2026.
He also urges caution on a number of fronts, such as the negative savings rate, the favorable terms on the national debt, which are only temporary, the country spending more than it produces, and the need for bolstering competition in a market with several oligopolistic sectors.
