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NBG Predicts 4.5% Economic Growth in 2018

According to the National Bank forecasts, growth in GDP in the year of 2018 will be 4.5%. According to the forecast, GDP growth will have positive contribution as net exports, as well as consumption and investments, which will result in external inflows, improvement of business climate and capital expenditure of the state budget.

Despite this improvement, the existing estimates, the joint demand is still far behind of potential level. According to the forecast, this issue will be gradually eliminated from 2018 and 2019.

According to the National Bank estimates, GDP growth in 2017 was moderately high. “According to preliminary data, the annual GDP growth was 4.8%. The improvement of economic activity mainly contributes to positive trends in the foreign sector. In particular, the index of goods and services has significantly improved, as well as money transfers increased. However, there is a positive impact on economic growth from domestic factors over the years to a moderate increase in the high volume and consumption of investments, which in turn helps to improve business and consumer attitude and increase credit growth, “said NB.