Greece Deficit Could Exceed 12 Percent

It is going to be interesting how the Eurozone reacts to this type of announcements as before the crisis they were very strict on supervising member countries.

Greece’s central bank governor said Friday the country’s budget deficit this year may exceed 12 percent of economic output – or four times the EU ceiling.

George Provopoulos said current data for the first three quarters of 2009 set budget overspending at around 10 percent of gross domestic product.

“But if one takes into account the dynamic for the next few months, one could conjecture with relative certainty that – unfortunately – the deficit will reach, if not exceed, 12 percent,” Provopoulos said.

Forbes

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Alfonso Esparza

Alfonso Esparza

Senior Currency Analyst at Market Pulse
Alfonso Esparza specializes in macro forex strategies for North American and major currency pairs. Upon joining OANDA in 2007, Alfonso Esparza established the MarketPulseFX blog and he has since written extensively about central banks and global economic and political trends. Alfonso has also worked as a professional currency trader focused on North America and emerging markets. He has been published by The MarketWatch, Reuters, the Wall Street Journal and The Globe and Mail, and he also appears regularly as a guest commentator on networks including Bloomberg and BNN. He holds a finance degree from the Monterrey Institute of Technology and Higher Education (ITESM) and an MBA with a specialization on financial engineering and marketing from the University of Toronto.
Alfonso Esparza