26 May 2015
Greece’s 2015 budget proposal won't produce surplus – IMF Chief Economist Blanchard
FXStreet (Mumbai) - The Greek government's proposals for the 2015 budget are not sufficient, International Monetary Fund's (IMF) chief economist Olivier Blanchard said in an interview published on Monday.
According to previous calculations, Greece was supposed to have a 3% budget surplus in 2015, but current economic results make it unrealistic now.
Key Quotes:
"Considering that the most recent estimates mention a substantial budget deficit, we need credible measures to transform this into a surplus and maintain this surplus in the future. This is far from being the case at the moment,"
"What is obvious is that the pension system is often too generous (in Greece) and that there are still too many civil servants,"
"There is a need to look at what structural measures are essential to guarantee sustained medium-term growth."
According to previous calculations, Greece was supposed to have a 3% budget surplus in 2015, but current economic results make it unrealistic now.
Key Quotes:
"Considering that the most recent estimates mention a substantial budget deficit, we need credible measures to transform this into a surplus and maintain this surplus in the future. This is far from being the case at the moment,"
"What is obvious is that the pension system is often too generous (in Greece) and that there are still too many civil servants,"
"There is a need to look at what structural measures are essential to guarantee sustained medium-term growth."