(Greece) – There are some positive and negative signs in place for the Greek economy. According to the Hellenic Statistical Authority, or ELSTAT, the Greek economy has expand by 0.3% when measuring it on a quarterly basis. However, the year-over-year figure isn’t as positive. It shows that the economy has contracted by 0.7% over last year when the second quarter of 2016 was analyzed. Additionally, Greece’s gross domestic product, or GDP, rose by 0.3% fro the beginning of April to the end of June. This is up from the previous quarter when the GDP had showed a shrinkage of 0.1%. Although ELSTAT released some preliminary statistics this past week, they are expected to release their full analysis for the second quarter on August 29.
According to financial experts, these figures could show that predictions that the recession would drag on for a long time are inaccurate. Although the economy did shrink from last year, the fact that it seems to be rising on a quarterly basis could show that the economy could rebound quicker than predicted. However, it might be a little too soon to tell. Bloomberg originally predicted that the GDP would drop by 0.2% in the second quarter and Reuters also reported that the economy would shrink by 0.1%. Neither of these seem to be the case.
Greece has been in a recession since about 2009 and in 2010, they country accepted its first bailout payment. Since then, Greece has had to take on two more bailouts, with the most recent being several months ago. This most recent bailout was necessary to help payoff loan balances that came due to the International Monetary Fund and the European Central Bank. The austerity measures that have accompanied these bailouts have been controversial, but the international creditors have maintained that they are necessary to help Greece rebound. The creditors have always said that Greece needs to decrease government spending and increase its revenue.