Greek economy to contract by 0.7 pct this year

In the period from tabling the pre-draft budget until tabling the final draft, there was a significant positive development: an upwards revision of economic growth in 2015 and 2016. This revision showed that the Greek economy did not fell into recession in 2015 since the country's Gross Domestic Product remained unchanged. In comparison with a provision included in the pre-draft for a contraction of 2.3 pct in 2015, the final estimate is an impressive improvement. The Greek economy resisted and rejected all catastrophic scenarios. The improvement for 2016 is smaller but not insignificant.
The budget envisages a provision for 150 million euros in revenue from revising income tax for individuals.
The 2016 budget envisages net budget revenues of 53.527 billion euros, up from 53.344 in the pre-draft budget, down compared with 55.603 in 2015. Regular budget net revenue is projected at 49.107 billion euros in 2016, from 49.462 in the pre-draft budget plan and 50.871 billion in 2015. Budget spending is projected at 55.751 billion euros in 2016 from 55.685 billion in the pre-draft budget plan and 55.705 billion in 2015. Regular budget spending is envisaged at 49.001 billion euros in 2016, from 48.935 billion in the pre-draft budget plan and 49.305 billion in 2015.

State budget cash primary surplus is projected at 3.706 billion euros in 2016, from 3.590 bln in the pre-draft budget plan and 5.797 billion in 2015, while primary state budget surplus (ESA) is projected at 1.860 billion from 2.346 billion in the pre-draft budget plan and 4.512 billion in 2015.
The country's Gross Domestic Products is projected to reached 174.437 billion euros in 2016, from 173.365 in the pre-draft budget plan and 184.870 billion in 2015.