The Greek think-tank, Foundation for Economic & Industrial Research out with their Q1 report
- GDP to shrink 1% as new fiscal measures impact on consumer spending
- see unemployment rising to 25.2% this year vs 24.4% in Q4 2015
- tourism to continue rising
- lower disposable income resulting from the bailout-led fiscal reforms will remain a deflationary factor
- new indirect taxes will have a countervailing impact leading to zero inflation or slight deflation this year
A stark reminder that Greece has no way been consigned to the back pages and may yet come back to haunt Eurozone stability even if Brexit vote doesn't.
Meanwhile the euro's still on the back foot as equities continue to firm.
