Greece’s inflation target of 2% seems difficult to be achieved. UBS sees inflation of around 3%, after data showed it accelerating over the summer. The Swiss investment bank, however, keeps its growth forecasts unchanged, as the funds of the Recovery and Resilience Facility offer significant support.
UBS “sees” GDP growth of 2.5% this year in Greece, with the economy picking up speed to 3% in 2025. This is considerably stronger growth than that of the Eurozone, which is set at just 0.6% for 2024 and 1.2% in 2025.
Global growth accelerated in July, but thanks primarily to emerging and smaller economies. The major powers (USA, China, Eurozone) are on a trajectory of slowing down to a greater or lesser extent. It is, however, a “smooth landing” with fears of a deep recession now removed.
