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War scenarios for the local economy

With the specter of stagflation looming over the global economy once more, as Bank of Greece Governor Yannis Stournaras said last week, the government and analysts are already drafting war scenarios for the Greek economy, incorporating forecasts for lower growth and, above all, higher inflation. At the moment, uncertainty – compounded by the unpredictable behavior of the United States – is the prevalent mood, with officials and analysts agreeing that the war’s impact will depend on its duration and effect on the Gulf region [...]