The Bank of Greece has published issue 63 of its Economic Bulletin, bringing together five research articles on key features of the Greek economy. The issue highlights that some social benefit recipients can face weak incentives to move into work or increase earnings because benefits are withdrawn abruptly, that Greece’s current account deterioration in 2024 was driven mainly by cyclical factors rather than a weakening of structural fundamentals, and that economic uncertainty has a persistent negative effect on firms’ investment and employment decisions. The bulletin’s other articles examine how consumers form inflation perceptions and expectations, and the role of cultural and creative industries in Greece. The inflation study finds that both perceived inflation and inflation expectations are consistently higher in Greece than in the euro area, with expectations linked to views on growth and unemployment and shaped strongly by inflation perceptions, especially at shorter horizons. The article on cultural and creative industries estimates that they account for about 1.7% of value added and around 3% of employment in Greece’s business economy, while also identifying structural constraints including small firm size, lower productivity and limited access to finance despite signs of rising internationalisation and exports.
Bank of Greece2026-07-16
Bank of Greece publishes Economic Bulletin with studies on work incentives, current account drivers and inflation expectations
The Bank of Greece’s latest Economic Bulletin compiles five studies on Greece’s economy and policy environment. The articles find that benefit design can weaken work incentives, the 2024 current account deterioration was mainly cyclical, and economic uncertainty weighs on investment and employment. They also show higher inflation perceptions in Greece than in the euro area and persistent structural constraints in cultural and creative industries.