Alexis Tsipras' government anticipates growth of 2.4% of GDP and a primary budgetary surplus (not including servicing of the debt) of 3.57% of GDP next year, according to the draft 2018 budget presented to the Vouli (Greek parliament) on Monday 2 October.
This puts the Greek authorities' projections into line with the commitments to keep the primary budgetary surplus at 3.5% of GDP between 2018 and 2022 that Greece made at the Eurogroup meeting held in Luxembourg on 15 June of this year (see EUROPE 11810). This surplus is expected to stand at 2.2% of GDP this year, which is 0.45 points higher than the target of 1.75% set last year for the Hellenic Republic (see EUROPE 11519), and growth is expected to stand at 1.8% of GDP this year. According to the forecasts, the unemployment rate is expected to fall below 20% in 2018 and hover around the 19% mark.
When contacted by EUROPE, the services of the European Commission spokesperson said that “the institutions will assess Greece's fiscal situation and plans as part of the third review of the stability support programme that will take place this autumn”. As Athens is under a macro-economic adjustment programme, the government of the Hellenic Republic does not have to submit its draft 2018 public finance bill to the European Commission until 15 October, unlike the other member states of the Eurozone. (Original version invented by Lucas Tripoteau)