Christos Staikouras

The government has another package of business support measures ready for May, top officials at the Finance Ministry assure, as the coronavirus pandemic continues to keep the economy locked down, which will inevitably lead to the use of cash reserves.

The European Union estimates that the Greek economy will contract by 8 to 9 percent this year due to the coronavirus pandemic, much higher than the government's projections.

Officials in Brussels revealed that forecast on Wednesday, during a conference call with the finance ministers of the Greek government regarding the assessment of the Greek economy.

There are still differences between the eurozone member-states, despite significant progress, but they are expected to be bridged by Thursday, Finance Minister Christos Staikouras said on Wednesday to the Athens-Macedonian News Agency.

The Minister's statement reads as follows:

Tuesday's inconclusive Eurogroup teleconference, which will resume on Thursday, sent jitters across European markets, which had expected a decision to protect eurozone economies from the coronavirus avalanche.

Finance Minister Christos Staikouras stated on Tuesday that a market foray in the next couple of months is possible for the Greek state, so as to finance the country's cash needs.

Greek Finance Minister Christos Staikouras was upbeat Wednesday that remaining differences between eurozone governments regarding a trillion euro package to support the economy against the coronavirus pandemic would be bridged by Thursday.

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.