The year 2014 will be a turning point for Greece, the European Commission (EC) said November 4 in its European Economic Forecast for Autumn 2014. In its report on Greece, titled "The economy finally rebounds," the EC emphasizes that after six years of contraction, “the Greek economy is expected to return to growth in 2014.” A long-awaited recovery will be based on private consumption and exports, although it adds that the size of positive results will depend on implementation of investment policies.

Unemployment is expected to drop to 26.8% in Greece in 2014 reflecting the creation of new jobs and the effect of employment support programmes. A relatively strong fall in unemployment to 25.0% in 2015 and 22.0% in 2016 can be expected thanks to the pick-up in investment, the continuation of employment programmes, and ongoing structural reforms bearing fruit. Furthermore, the economy is expected to grow by 0.9% this year and by 2.9% in 2015, the forecast said.

More information: EC’s European Economic Forecast for Autumn 2014 (Greece, p.72)