Greece's current account deficit, a key economic indicator, narrowed sharply to €1.96 billion in February from €3.16 billion a year earlier, official data showed today.
The Greek central bank said the fall in the deficit drop was due to a large increase in EU money transfers, a fall in imports and an exports boost.
Demand in Greece has been hit by a deep recession fuelled by austerity cuts ordered to deal with an unprecedented debt crisis that pushed the country to the brink of bankruptcy last year and shook the entire euro zone.
The central government gained €1.09 billion in transfers mainly from the European Union, which bailed out the country last May with the International Monetary Fund.
Non-oil imports meanwhile fell €237m and goods exports increased by €142m. Combined, this more than offset a €322m rise in the oil import bill, the Bank of Greece said.
Between January and February 2011 the current account deficit dropped 29.7% compared to the same time last year to €4.75 billion.
