The IMF report, adding the officials of the Ministry of Education, has been a clear recognition of government and ministry initiatives over the past 5.5 years
Strong growth potential, income increase, tax evasion, debt reduction. These, according to officials from the Ministry of National Economy and Finance, are the key points that the IMF emphasizes in the context of its conclusions following the visit of its delegation to Greece.
The Fund’s report, add the executives of the RP, is clear recognition of government and ministry initiatives over the last 5.5 years.
Specifically, according to informal information by the RPH, the text highlights the following elements that reflect the progress of the Greek economy in recent years:
- Strong economic growth based on investment and higher incomes: Real GDP increased by 2.3% in 2024, supported by investment through the recovery fund and increased private consumption due to real income rise.
- Success in Reduction of Tax evasion: The IMF highlights the significant progress achieved In dealing with tax evasion and the improvement of tax compliance, thanks to the implementation of reforms and the further digitization of tax procedures.
- Lower Taxes- Higher Tax Revenue: The IMF stresses that, although the burden on employment from taxes and insurance contributions has fallen by 4.5% since 2019, tax revenue is steadily increasing thanks to the fight against tax evasion.
- Unemployment fell to pre -crisis levels: The unemployment rate decreased to 9.5% in the third quarter of 2024, the lowest level since 2009.
- A drastic reduction in public debt: The debt ratio to GDP decreased by 50 percentage points from its climax in 2020.
- Banking: The IMF recognizes that the resilience of the Greek banking system has been enhanced, with a significant contribution to the reforms implemented. Specifically, the non -performing loan index (NPL) decreased to 3% in 2024, while banks’ capital adequacy improved.
- Prudent budget policy ensures stability: primary surplus is projected to remain high (2.5% of GDP in 2025), ensuring public debt viability. In particular, the IMF predicts that the debt ratio to GDP will be further reduced by 25 percentage points by 2030reaching below 130%. He also stresses that tackling tax evasion covers the cost of future reductions in insurance contributions.
Source: Skai
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