Tourism helps slow Greek recession in second quarter

Friday 06 September 2013 11.36
Greek tourism industry gives economy a boost in the second quarter
Greek tourism industry gives economy a boost in the second quarter

High tourism revenues helped Greece's battered economy shrink less than initially estimated in the three months from April to June, making a projected exit from recession next year more likely.

The country's statistical authority said that the second quarter contraction was 3.8%, considerably better than last month's flash estimate of 4.8%.

The authority said the revision was based on data not available when the preliminary estimate was issued.

These included a 5.3% turnover increase in accommodation and food services in the second quarter - compared to a 21% fall a year earlier - and a strong improvement in the external trade deficit.

Debt-crippled Greece is in a sixth year of recession, which hit a contraction of 9% in late 2010. The downturn was exacerbated by harsh austerity measures demanded by the country's bailout creditors.