Tax evasion in Greece exceeds 60 billion euros a year, says the head of the Bank of Greece

Tax evasion in Greece totals more than 60 billion euros a year, Giannis Sturnaras, governor of the Bank of Greece, said on Monday.

In an interview with the news site in.gr, the head of the central bank said that the country’s officially declared income is 80 billion euros and consumption is 140 billion euros. He noted that this consumption was not accompanied by a decrease in savings. On the contrary, savings continued to rise across the country. “We are considered the champions of Europe, despite the progress made in increasing tax revenues as a percentage of GDP,” Sturnaras said.

Commenting on non-performing loans, he said that a legislative initiative is ready to be sent to the next Ministry of Finance after the June 25 elections to introduce a common code of ethics for the funds that serve them. Speaking about asset auctions, Sturnaras said that policies should protect vulnerable borrowers, and commenting on the high interest rate spread between deposits and loans, the central banker said that to reduce it, Greece should improve competition in the banking system by helping small banks and asking the government to offer equal conditions of competition.

Sturnaras expressed confidence that the country will regain its investment rating this year and reiterated that Greece needs a government with a long-term horizon.

PS I see significant “progress” here. In 2010When Greece under Popandreou signed the first bailout memorandum, tax evasion was over 120 billion euros a year.

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