The international credit rating agency Fitch Ratings lowered its expectations about the development of the Greek economy from stable to negative but it kept its long-term expectation on level A. The institution explains that its decision with the fact that for many years, Greece refused to face its economic problems realistically and by doing this it deepens them instead of dealing with them.

Fitch Ratings predicts an increase of the public debt with 6% and its formation of 106% of the GDP, which will slower development with 2%. “After entering the Eurozone in 2001, Greece showed limited potential about supporting financial discipline, despite its fast growth in comparison to the countries in the Eurozone,” said Chris Price from Fitch Ratings. He added that in the last 10 years, Greece managed to reach a debt of under 3% of the GDP, only once in 2006. And this percentage is part of the Maastricht criteria for membership in the Eurozone.

According to the representative of the agency, the Greek government constantly increases the expenses in the public sector and shows incapability to control the economy and lack of political will for reforms. “We are noticing high expenses for salaries in the public sector, for pensions and for public debt, despite the positive influence of the low interests,” adds Chris Price. Fitch Ratings doubts the ability of the authorities to deal with the public finances during a harder international economic situation and this is why he expects a 6% increase in the public debt. The agency explains the decrease of the GDP growth with 2% with the huge drop in global trade and the collapse of the British pound, which influences shipping and tourism (Greek economy’s main sectors) very badly.