The good news: recession eases. The bad news: recession is still high. And thus for the sixth consecutive year. Austerity measures crack down on consumption, shops and businesses close down.
Half of the touristic shops and hotels in Agia Marina, Aegina, stay closed for the second consecutive year. Photo: KTG August 2013.
from the Guardian:
Greece’s recession eased slightly in the second quarter of 2013 but not nearly enough to boost tax revenues to levels the government needs to meet its bailout targets, figures showed on Monday.
The Greek data showed the economy shrank at an annual pace of 4.6% in the second quarter, according to the country’s statistics agency Elstat.
The economy has slumped 23% in real terms since 2008, hurting tax revenues and making it hard to meet targets agreed with international lenders who backed the 2010 bailout.
The figure was slightly better than economists’ average forecast for a 5% contraction, but that will be cold comfort for Greeks, who are facing a sixth consecutive year of recession in 2013, as austerity measures have crippled private consumption, the main engine of its economy.
The slump, one of the biggest peace-time recessions recorded in history, is undermining the ability of firms and households to pay taxes, separate budget figures showed on Monday. (full story Guardian)
PS But the country is saved…
