BNP Paribas: Early elections in Greece will derail its recovery

Although the economy is improving there is still risks

BNP Paribas in its report highlights that although Greek economy is progressing, early elections could will derail its recovery and its negotiations for debt relief, while describes the thoughts of an exit from the memorandum as premature.
Further, according to the report, after six years Greece’s economic activity is expected to recover due to the help of a good- record tourism season.

At the same time, the trust is also reinforced by the latest success of fiscal adjustments, since the Greece displays a primary surplus, which will result to further financial recede that the official sector creditors have promised.

However, BNP Paribas stresses that although the prospects are improved, is still risks. After six years, everything that the crisis leaves behind is important. GDP is 25% lower than pre-crisis levels, the unemployment has soared to 27%, and the real burden of debt becomes bigger because of lower prices.