IMF’s mixed report on Greece feeds into political row about economic recovery

IMF’s mixed report on Greece feeds into political row about economic recovery

 

The government was accused on Monday of trying to cover up the dire state of Greece’s economy through positive spin as an International Monetary Fund report praised the country for progress in terms of public finances and competitiveness but stressed the need for more structural reforms.

Writing at the end of a review of the Greek fiscal adjustment program, IMF staff said that Greece’s consolidation had been “exceptional by any international comparison” and that the country had achieved “a significant dent in its competitiveness gap.”

However, they also highlighted the slow pace of change in terms of tax collection and the public administration. “Very little progress has been made in tackling Greece’s notorious tax evasion,” the IMF said in a statement on Monday. “The rich and self-employed are simply not paying their fair share.”