The European Commission has sharply cut its 2015 increase estimate for Greece to 0.5 %, pointing to political uncertainty in Athens. Greece is struggling to acknowledge a package of economic reforms with the Troika of creditors to unlock bailout funds.
The real GDP of Greece grew for the initial time last year since 2007, expanding by 0.8 %. However, high political uncertainty and tighter financing conditions are holding back the recovery and weighing on public finances, the EU Commission explained. The uncertainty has grown since the Syriza party won the general election in January with the promise to bring an end to austerity policies.