GREEK ECONOMY

The impact on the real economy will be determined by the duration of the epidemic and the progress made in tackling it. If the epidemic eases, with the help of improved weather, or a vaccine, then a rapid reversal of the situation can occur. Adversely, if it continues to spread, then the effects can be drastic, especially in countries with fragile economies, such as Greece.

"We aredealing with the problem with responsibility, we are examining the consequences of the problem, we are reviewing all alternative solutions and we have specific measures for each scenario in an emergency," the Greek FinMin said, adding that Greece was coordinating its contacts with representatives of the economy currently affected, or likely to be affected, by the spreading of the coronavirus, in order to take the necessary actions.

"In all discussions, the prime minister and the economic team raise the specific issue, which we approach methodically and with supporting evidence," he said.

According to finance ministry data, the primary surplus in the January-November 2019 period amounted to 6.945 billion euros against a target of 4.715 billion euros. Net budget revenues amounted to 48.429 billion euros, up by 380 million euros or 0.8 pct compared with the revised target for 2019.

Additionally, the 2020 state budget signifies the end of the vicious cycle of over-taxation, deals with the growth and investment gap which has stalled Greece in recent years in terms of investments, Petsas noted.

Speaking in Parliament, the Greek Finance minister made special mention to measures supporting the Greek society, focusing on the middle class and lower classes, such as a reduction in a special property tax, a new tax legislation, a heating subsidy, expanding the tax base, etc.

The decision, to be activated on January 1, 2020, will mean that "short-term export credit risks towards Greece will be considered as marketable to be covered by private insurers," the European Commission said in an announcement.

Greek state budget recorded a primary surplus of 5.739 billion euros in the January-October period, up from a budget target for a surplus of 4.179 billion and a primary surplus of 3.811 billion euros in the same period last year, the Finance ministry said in a report on Monday.

The Greek government on Thursday tabled the 2020 draft budget in Parliament which envisages a GDP growth rate of 2.8 pct and a primary surplus of 3.6 pct in 2020, exceeding a target for a 3.5 pct primary surplus and putting the Greek economy on track for stronger growth.

The recent upgrades in Greece's sovereign credit rating and positive prospects by Standard & Poor's (S&P) and DBRS has brought the country closer to investment-grade normalcy compared to other Eurozone countries.