Coronavirus strain on economy only temporary, says FinMin Staikouras

Finance Minister Christos Staikouras on Monday said that Greece’s economy appears it can adequately withstand the pressure exerted by the coronavirus pandemic for the next two to three months, without resorting to its so-called cash buffer.

Speaking on national broadcaster ERT, Staikouras said the assessment was made by the ministry with the help of the Public Debt Management Agency.

He also estimated that the coronavirus-related recession will be temporary, because it is not based on inherent economic problems but on external factors.

According to Staikouras, if the health crisis lasts throughout the two coming months, the recession in the country will approach 3 pct, and the second half of the financial year's results will contain positive features.

On rumoured upcoming wage cuts in the civil service and the broader public sector, Staikouras reiterated that this is not something the government is considering, provided that the pandemic lasts as long as estimated.