The war that broke out on Thursday between the government and the Governor of the Bank of Greece Yannis Stournaras raised the confrontation between the PM's office and the main opposition party to new heights.

Bank of Greece governor Yannis Stournaras submited the central bank's interim report on monetary policy to Parliament on Friday.

Yiannis Stournaras in his first comments on politics, since taking over as central bank governor last month, said there were still downside risks to the economic outlook. He notes that political uncertainty around a presidential election scheduled for 2015 is the main risk to the debt-laden country's economic recovery.