With summer ending it won’t last long, but Greece’s record-breaking tourist year has put the brakes on a runaway recession – without stopping it. According to the country’s statistical agency ELSTAT, the economy shrank 3.8 percent during the second quarter, 0.8 percent less than expected.
This difference is attributed to data not available in the original evaluation, such as monthly import/export data or the quarterly turnover rates in various sectors. The greatest improvement was noted in the food and hospitality industries, thanks to a tourism boom this summer.
Consumer expenses were reduced by 6.3% compared to the second semester in 2012, while gross investments dropped 11%. Overall, there was a 75% reduction to the trade balance deficit, which contributed to lower recession.
The export of goods and services increased by 3.1% and 1.6% respectively (for an overall 0.9% increase), while the import of goods and services was reduced by 10.7% and 16% respectively (11.8% overall).
The current chronology of the quarterly data will be updated, due to the review of the respective annual national account results, which is scheduled to occur in September. The Greek Gross Domestic Product (GDP) has fallen 23 percent since 2008, with crushing austerity measures plunging the country into a deep recession.
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