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

3 April 2016
247 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

US Amb Pyatt: The stronger Greece is, the more it can act as a stabilizing force in the region
GREECE
shares15 views
GREECE
shares15 views

US Amb Pyatt: The stronger Greece is, the more it can act as a stabilizing force in the region

makis - Apr 20, 2018

Greece can act as a stabilizing force for good in the wider region and the stronger Greece is, the better…

Kotzias – Dimitrov to meet again on April 25, in Vienna
POLITICS
shares14 views
POLITICS
shares14 views

Kotzias – Dimitrov to meet again on April 25, in Vienna

makis - Apr 20, 2018

According to the FYROM government spokesman, Mile Bosnjakovski who spoke on Friday, there will be a new meeting between the…

Alexandros Stamatiadis dies in hospital
GREECE
shares30 views
GREECE
shares30 views

Alexandros Stamatiadis dies in hospital

makis - Apr 20, 2018

Greek businessman Alexandros Stamatiadis has died after being hospitalised in critical condition for 18 days. The businessman, 52, was shot…

Leave a Comment

Your email address will not be published.