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Greece and Cyprus are experiencing the largest public debt reductions in living memory, according to Daniel Kral. The Greek public debt to GDP ratio could fall below Italy's by year end, whereas at end-2020 it was 55 points higher. Portugal's debt ratio is projected to move below the Eurozone average, down from being 38 points higher at end-2020.
These shifts highlight strong fiscal consolidation efforts in all three countries.
Kral has previously pointed to shifts elsewhere in the European economy. He noted that oil prices have become a key factor in EU consumer energy costs. In another report, he highlighted that all EU countries posted goods trade deficits with China in 2023. These reports track ongoing changes in fiscal and trade positions across the region.