Yet, despite the expected recovery in the euro area, our major foreign trade partner, we expect the pace of GDP growth to slow down to around 1%, on account of the exhaustion of effects of increased capacities in oil and automobile industries and excellent last year’s agricultural performance.
In addition, negative effects of fiscal consolidation and structural reforms on economic activity will inevitably be felt in the near term. However, fiscal consolidation measures and structural reforms are a must if we are to have sustainable economic growth.