AP

After years of EU scrutiny, Greece promises balanced budget

Oct 3, 2022, 6:32 AM | Updated: 7:29 am

ATHENS, Greece (AP) — Greece has promised to return to a budget surplus in 2023, submitting its first spending blueprint in 12 years that is not under the direct scrutiny of European bailout lenders.

Finance Ministry officials said Monday that Greece was planning to return to a primary surplus — the annual balance before debt servicing costs — of 0.7% of gross domestic product in 2023 from a primary deficit of 1.7% of GDP this year.

Achieving a balanced budget was a key demand from lenders during three successive international bailouts between 2010 and 2018 funded by European Union institutions and the International Monetary Fund. A so-called enhanced surveillance monitoring program of Greek public finances by European lenders expired earlier this year.

Deficit rules in the 19 countries that use the euro currency were suspended in 2020 due to the COVID-19 pandemic, but budgets remain under pressure due to high energy costs and additional defense spending — both related to the war in Ukraine.

“The 2023 budget is being prepared under conditions of extremely high uncertainty, regarding geopolitical developments at a global level,” Finance Minister Christos Staikouras said.

Budget forecasts, he said, are subject to change due to “geopolitical challenges” including the war in Ukraine, supply of natural gas to Europe, energy and fuel prices more broadly and European monetary policy.

The European Commission, the EU’s executive arm, wants to reform fiscal rules, making them more growth friendly, before they are due to be fully implemented again in 2024.

Under budget figures submitted to Greece’s parliament Monday, growth is expected to be 2.1% next year, and debt-to-GDP reduced further to 161.6%, from over 200% in 2020.

The growth forecast for 2022 was revised upward to 5.3%, thanks in large part to a better-than-expected tourism season this year.

Staikouras said the budget provided for a 1 billion euro ($978 million) cash reserve — above planned support for businesses and households to cope with energy bills — to address potential additional price increases.

Copyright © The Associated Press. All rights reserved. This material may not be published, broadcast, rewritten or redistributed.

AP

A Boeing 737 Max suffered damage to parts of the plane's structure after it went into a “Dutch ro...

Associated Press

Plane that did ‘Dutch roll’ on flight from Phoenix suffered structural damage, investigators say

A Boeing 737 Max suffered damage to parts of the plane's structure after it went into a “Dutch roll” during a flight from Phoenix last month.

4 days ago

This photo provided by Randy Shannon shows Mooney Falls on the Havasupai reservation outside the vi...

Associated Press

Dozens report illness after trips to waterfalls near Grand Canyon

Dozens of hikers say they fell ill during trips to a popular Arizona tourist destination that features towering blue-green waterfalls deep in a gorge neighboring Grand Canyon National Park.

5 days ago

Mugshot of Rudy Giuliani, who was processed Monday, June 10, 2024, in the Arizona fake electors cas...

Associated Press

Rudy Giuliani posts $10K cash bond after being processed in Arizona fake electors case

Rudy Giuliani, a former New York City mayor and Donald Trump attorney, was processed Monday in the Arizona fake electors case.

7 days ago

FILE - White House former chief of staff Mark Meadows speaks with reporters at the White House, Wed...

Associated Press

Former Trump chief of staff Mark Meadows pleads not guilty in Arizona fake elector case

Former Donald Trump presidential chief of staff Mark Meadows and Trump 2020 Election Day operations director Michael Roman pleaded not guilty Friday in Phoenix to nine felony charges for their roles in an effort to overturn Trump's Arizona election loss to Joe Biden.

11 days ago

deadly heat wave last summer...

Associated Press

After a deadly heat wave last summer, metro Phoenix is changing tactics

Fresh memories of the deadly heat wave last summer have led Arizona authorities to launch new tactics ahead of summer 2024.

21 days ago

A Yuma man has been arrested for allegedly starting a wildfire in a national wildlife preserve near...

Associated Press

Man accused of starting wildfire in national wildlife preserve in Yuma

A Yuma man has been arrested for allegedly starting a wildfire in a national wildlife preserve near the California border.

22 days ago

Sponsored Articles

...

Sanderson Ford

3 new rides for 3 new road trips in Arizona

It's time for the Sanderson Ford Memorial Day sale with the Mighty Fine 69 Anniversary, as Sanderson Ford turned 69 years old in May.

...

Day & Night Air Conditioning, Heating and Plumbing

Beat the heat, ensure your AC unit is summer-ready

With temperatures starting to rise across the Valley, now is a great time to be sure your AC unit is ready to withstand the sweltering summer heat.

...

DESERT INSTITUTE FOR SPINE CARE

Desert Institute for Spine Care is the place for weekend warriors to fix their back pain

Spring has sprung and nothing is better than March in Arizona. The temperatures are perfect and with the beautiful weather, Arizona has become a hotbed for hikers, runners, golfers, pickleball players and all types of weekend warriors.

After years of EU scrutiny, Greece promises balanced budget