BoG: Tourism and Exports Narrow Greece’s Deficit

Greece’s tourism revenues roseate by 12.5% successful the archetypal 7 months of the year, reaching 12.1 cardinal euros, according to information from the Bank of Greece (BoG). This growth, combined with an summation successful exports, contributed to a 1.4 cardinal euros simplification successful the country’s existent relationship deficit, which fell to 6.7 cardinal euros implicit the aforesaid period.

Exports of goods excluding substance grew 4.5% successful existent prices, while corresponding imports accrued by 3.4% (7.0% and 2.7% successful changeless prices, respectively). Overall, the trade equilibrium shortage narrowed, arsenic the simplification successful imports exceeded that of exports successful implicit terms. In existent prices, exports of goods declined 4.9% (up 0.3% successful changeless prices), while imports fell 3.6% (down 2.1% successful changeless prices).

The services equilibrium surplus expanded, mostly driven by improvements successful travel services, though this was partially offset by a deterioration successful the transport balance. Compared with January–July 2024, non-resident tourist arrivals roseate 2.6%, while tourism revenues accrued 12.5%.

The superior income shortage decreased comparative to the aforesaid play successful 2024, chiefly owed to little nett payments for interest, dividends, and profits. Meanwhile, the secondary income surplus grew, reflecting little nett authorities payments, partially offset by declines successful nett receipts from different sectors of the economy.

The wide existent and superior relationship deficit, representing Greece’s outer financing needs, narrowed to 5.4 cardinal euros compared with past year.

In nonstop investment, residents’ claims connected overseas recorded nett inflows of 2.3 cardinal euros, while overseas nonstop investments successful Greece reached 3.2 cardinal euros.

In portfolio investment, the simplification successful residents’ overseas claims stemmed from a 3.5 cardinal euros diminution successful holdings of overseas bonds and bills, partially offset by a 1.8 cardinal euros summation successful equity investments abroad.

Foreign investors’ holdings successful Greek securities roseate sharply, with 7.9 cardinal euros successful bonds and bills and 1.6 cardinal euros successful home firm equities, reflecting strong outer assurance successful Greece’s fiscal markets.