The new budget of Greece provides GDP growth of 2.5%

The Greek Parliament approved the country's budget for 2019. In accordance with it, the growth of external gross product over the next 12 months should reach 2.5%. More than half of the deputies - 154 people out of 300 – positively perceived the proposed budget. 143 deputies turned out to disagree with such a forecast on GDP. In total, 297 people cast their votes at the meeting. 3 did not participate in the discussion. 

The left supports the new budget

The ruling coalition, which includes the radical left-wing SYRIZA (under the leadership of Prime Minister Alexis Tsipras) and the ANEL party, supported the budget for 2019. At the meeting, in which the vote was taken, the Prime Minister of the country spoke.

He noted that the new budget was formed taking into account the fact that the country is withdrawing from agreements with creditors. It certainly needs to be supported, because, for the first time, the state independently was able to plan its own financial and economic policy.

Previously, Greece had to coordinate all economic issues in exchange for loans. Alexis Tsipras remarked that after years of austerity, the country had an opportunity to recover.

According to the Prime Minister, when the opposition was in power, the unemployment rate rose by 17% (from 11%) and reached 28%. And after the new government came to power, it was possible to reduce this figure to 18.3%. 350,000 new jobs have been created, and the situation continues to improve.

Greece’s withdrawal from the foreign aid program

After exiting the program of external assistance, the country should make every effort to ensure that growth continues. Currently, the government has managed to withdraw the country from the memorandums.

The Ministry of Finance is confident that GDP in monetary terms this year will reach € 192,749,000,000. In 2018, it was equal to € 185,658,000,000, and in 2017 – € 180,218,000,000. The country's revenues are projected to exceed spending by €7,434,000,000.

€ 3,389,000,000 will be allocated for defense. Inflation is expected to be twice as high compared to the previous year – 1.2%. Exports will grow by almost 6%, and imports – by 5%. Public debt for the year should be reduced to € 346,200,000,000.

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