Greece’s economy seen growing by 3% next year – 2024 draft budget

ATHENS, Oct 2 (Reuters) – Greece’s economy is projected to grow at a faster pace next year on the back of strong tourist inflows, domestic demand and investment, a 2024 draft budget showed on Monday.

Economic output is seen rising by 3.0% next year from a 2.3% expansion this year, according to the draft budget.

Greece, which has just regained an investment grade status for its debt, is expected to achieve a primary budget surplus of 2.1% of gross domestic product (GDP) next year – which excludes debt servicing payments.

The country, which came out from three international bailouts in 2018 but whose finances are still closely watched by the European Union, reiterated its projection for a primary budget surplus of 1.1% of GDP this year.

This target will be achieved despite additional spending of 1.3 billion euros ($1.37 billion) in disaster relief caused by storm Daniel, the country’s worst on record, and in financial aid to vulnerable households from rising inflation and energy costs.

The country’s public debt, the highest in the euro zone, is seen dropping to 152.2% of GDP next year from 159.3% of GDP this year, according to the draft budget.

Below are the government’s key projections:

Source: Finance Ministry