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

31 March 2016
772 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

Man arrested in Piraeus with 37 ancient coins from the classical and Roman era
GREECE
shares10 views
GREECE
shares10 views

Man arrested in Piraeus with 37 ancient coins from the classical and Roman era

Panos - Jan 28, 2021

A man was arrested at the port of Piraeus for possessing illicitly gained ancient coins of the classical and Roman…

Geothermal energy, the forgotten renewable, has finally arrived
WORLD
shares11 views
WORLD
shares11 views

Geothermal energy, the forgotten renewable, has finally arrived

Panos - Jan 28, 2021

Jason Czapla is walking across a former lake bed in the middle of southern California. The ground simmers at our…

237-million-year-old ancient reptile discovered
WORLD
shares12 views
WORLD
shares12 views

237-million-year-old ancient reptile discovered

Panos - Jan 28, 2021

In Madagascar, researchers discovered a previously unknown species of ancient reptile named Kongonaphon kely. It’s part of the ancient animal…

Leave a Comment

Your email address will not be published.