Provopoulos: In 2008 the IMF warned that the Greek debt was 800% GDP

31 March 2016
594 Views

The former Governor of the Bank of Greece Giorgos Provopoulos revealed that the in May 2008 he the head of the IMF’s mission to Greece at the time Bob Traa has estimated that Greece’s debts were over 800% of the GDP.

According to Mr. Provopoulos, who made the revelation at the annual meeting of the Federation of Hellenic Food Industries (SEVT), these estimates were included in a report on the Greek economy. Mr. Provopoulos commented that in spite of the report, they chose to ignore what was happening. He also revealed that the actuarial debt of Greek pension funds at the time was 400% of the GDP.

Later on the former central banker was highly critical and dismissive of the fiscal policy that was implemented at the start of the crisis. Mr. Provopoulos was also doubtful as to whether Greece will exit the crisis, likening the situation to “being stuck in a minefield”.

Finally Mr. Provopoulos criticized the policy of constant tax hikes, underlining that “taxes will not bring growth, but rather lead the economy to a vicious cycle”.

You may be interested

EU Leaders fail to agree on new seven-year budget
SLIDE
shares40 views
SLIDE
shares40 views

EU Leaders fail to agree on new seven-year budget

makis - Feb 21, 2020

According to the EU Council President Charles Michel, more time is needed to agree on the budget. A summit of…

SYRIZA historian: Greece should import 1 million immigrants!
POLITICS
shares60 views
POLITICS
shares60 views

SYRIZA historian: Greece should import 1 million immigrants!

makis - Feb 20, 2020

Historian Antonis Liakos, a member of the leftist major opposition party SYRIZA, expressed the view that Greece should import 1…

This is why the Dutch prefer Greece as a holiday destination for 2020
GREECE
shares68 views
GREECE
shares68 views

This is why the Dutch prefer Greece as a holiday destination for 2020

Panos - Feb 20, 2020

The reasons Greece is one of the most preferred destinations for Dutch tourists were outlined in a survey carried out…

Leave a Comment

Your email address will not be published.