Christos Staikouras

As eurozone finance ministers met into the night to discuss the bloc's response to the Covid-19 pandemic, Prime Minister Kyriakos Mitsotakis meanwhile welcomed a decision by the European Central Bank to accept Greek government bonds as collateral as a move "that will further boost liquidity in the economy."

In an article published in Tuesday's Kathimerini, Finance Minister Christos Staikouras calls on his colleagues in the Eurogroup council of eurozone finance ministers to show solidarity as they convene on the same day and approve "a catalytic move that will offer a strong injection of liquidity to the economy."

The government will not touch the country's cash buffer and will announce fresh support measures next month, Finance Minister Christos Staikouras said on Friday, adding that the economy is expected to rebound considerably in the year's second half, moderating its annual contraction for 2020 to 3-4 percent.

Greece's finance minister said on Friday he expected the economy to contract by 3 to 4 percent this year due to lockdown measures imposed to curb the spread of coronavirus, marking a significant downward revision from his previous estimate.

Greece announced new tax breaks and economic assistance to thousands of businesses and workers on Monday to buffer its economy from a national lockdown triggered by the coronavirus pandemic.

The government on Monday announced a comprehensive package of measures for the support of businesses and employees affected by the coronavirus pandemic. 

Among the measures heraldd by Finance Minister Christos Staikouras is the extension of a 800 million-euro handout to a total of 1.7 million workers along with an extension of a moratorium of their debts to the state for 4 months.

A comprehensive package of measures to protect the economy from the impact of the coronavirus pandemic is to be unveiled on Monday by Finance Minister Christos Staikouras, Development and Investments Minister Adonis Georgiadis and Labor and Social Affairs Minister Yiannis Vroutsis. 

The huge pressure on the budget due to the coronavirus pandemic could see civil servants' salaries being reduced in the coming months if the crisis is prolonged.
Finance Minister Christos Staikouras did not rule that out on Friday, but he did note that it is not on the table at the moment.

A rise in borrowing costs caused by the coronavirus has halted Greek plans to tap bond markets again this year, Finance Minister Christos Staikouras said on Friday.

Greece emerged from bailouts in 2018 after a decade-long debt crisis that locked it out of bond markets for years. It has since had several successful issues, including a 15-year bond in January.

Finance Minister Christos Staikouras has for the first time spoken specifically of a recession for the Greek economy this year, as on Thursday on Skai TV he estimated a contraction of 1 to 3 percent, without ruling out an even worse scenario if the pandemic lasts beyond June or returns in the fall.