Greece targets 2014 growth

ATHENS — The troika of international creditors to Greece has said the country’s economy will start growing again next year and it will be able to contain its debts.

The troika, which includes the European Commission, the European Central Bank and International Monetary Fund, said the next slice of financial support would be released soon.

The release of the funds follows a review by the troika.

They said Greek debt was containable.

Greek debt is currently 160 per cent of the country’s gross domestic product and the IMF says it must be cut to 120 per cent of GDP to be sustainable.

The troika recently reviewed the country’s economic progress.

They said eurozone countries could soon approve the release of ‚8.8 billion.

In a statement, they said: “The disbursement of the related ‚2.8 billion from the EFSF [European Financial Stability Facility] tranche remaining from the previous review could be agreed soon by the euro area member states.”

‚270 billion in aid

Greece has been supported by ‚270 billion in bailouts since 2010.

In order to qualify, the country has had to cut spending and raise taxes, which has led to widespread hardship and prompted violent protests from some citizens.

Greece is trying to strengthen its banks so they can start to lend again.

The troika said that the country had almost completed the bank recapitalisation.

Most of the ‚50 billion has been made available to the four leading Greek banks.

The troika’s statement said: “The mission’s assessment is that this will provide adequate capital, even under a significantly adverse scenario. These capital buffers will thus ensure the safety and soundness of the banking system and of its deposits.” (BBC)

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