The International Monetary Fund expects the Greek economy to grow by 2.1% in 2025 but warns that growth rates will moderate in the medium term after the end of the Recovery Fund financing.

As reported at the press conference by IMF mission chief for Greece, Joong Shik Kang, at the end of the Fund's Article IV consultations with Greece for 2025, public finances have improved further, with the debt-to-GDP ratio on a steady downward path amid continued fiscal adjustment supported by significant progress in reducing tax evasion.

The agency recommends accelerating structural reforms in order to improve growth prospects.

At the same time, it opposes excessive increases in public pensions and wages and notes that there is scope for further reducing tax evasion. Any revenue overruns should be directed towards debt reduction and critical social spending, while VAT exemptions on certain goods and services should be phased out. At the same time, the IMF proposes increasing carbon pricing, particularly in the transport and industrial sectors. 

In addition, it stresses that banks' monitoring of credit risks should be further strengthened while enhancing their capital adequacy and quality.