Provopoulos: "Grexit" Has Now Been Replaced By The Word "Grecovery"

George Provopoulos, Governor of the Bank of Greece (Photo credit: Wikipedia)

Greece withstood the crisis which became a landmark for the country’s society, George Provopoulos, governor of the Bank of Greece said on Thursday, addressing a seminar organized by the central bank with the participation of European Central Bank’s vice-president Vitor Constancio.

According to AMNA, the Greek central banker noted that a recent progress in economic restructuring reflected, mainly, the determination of the government to implement an adjustment programme after making it clear that the country’s future was within the Eurozone. He added that the benefits from an economic adjustment programme expanded beyond an improving credibility and economic competitiveness which is achieved through a reduction in macro-economic imbalances.

Provopoulos said that since June 2012 share prices have doubled, the yield spread have fallen by 25 pct, bank deposits were up by 12 pct and the dependence of Greek banks from Eurosystem’s funding operations has been reduced by almost 35 pct. He reiterated his forecast that the Greek economy will recover in 2014 and said that the word ΄Grexit΄ has been recently replaced by the word ΄Grecovery΄.

Vitor Constancio said that structural reforms were an one-way road even for countries with surpluses in payment balances. He said he supported a quick banking union and said that ECB was preparing to respond to its new duties.

(AMNA)