IMF: Greece on track to cut debt and maintain strong budget surpluses through 2030

Greece is acceptable to support superior fund surpluses and proceed steadily reducing its nationalist indebtedness done the extremity of the decade, according to the International Monetary Fund’s (IMF) Fiscal Monitor released connected Wednesday.

The IMF projects that Greece’s superior surplus, which excludes involvement payments connected debt, will scope 3.2 per cent of GDP successful 2025 and 2.3 per cent successful 2026, underscoring the country’s continued fiscal subject pursuing years of betterment and recovery.

When involvement payments are included, Greece’s wide fund equilibrium is forecast to stay astir balanced successful 2025, earlier signaling a humble shortage of 0.8 per cent successful 2026.

After much than a decennary of crisis-driven austerity and structural reform, Greece’s indebtedness levels proceed to improve. The IMF expects nationalist indebtedness to autumn from 154.8 per cent of GDP successful 2024 to 146.7 per cent successful 2025, and further down to 141.9 per cent successful 2026. By 2030, the ratio is projected to driblet importantly to 130.2 per cent, marking 1 of the strongest fiscal turnarounds successful Europe.

Public gross is forecast to borderline higher to 50 per cent of GDP successful 2026, earlier gradually easing to 46.8 per cent by 2030. Meanwhile, nationalist expenditure is expected to highest astatine 50.8 per cent successful 2026, then diminution to 48.2 per cent toward the extremity of the decade, signalling continued fiscal consolidation and reduced reliance connected state spending.

While Greece’s fiscal outlook remains positive, the IMF’s broader study issues a warning: planetary nationalist indebtedness is expected to surpass 100 per cent of planetary GDP by 2029, reaching its highest level since 1948. The emergence reflects lingering post-pandemic spending, accrued defence costs, and slower planetary growth.

In contrast, Greece’s improving fiscal presumption stands retired arsenic a success story within the eurozone, highlighting however disciplined budgeting and steady maturation tin coexist adjacent amid planetary economical headwinds.