Greek economy vulnerable to tension in Mideast: Fitch

By Ahmet Gencturk

ATHENS (AA) – Greece’s economy is vulnerable to the current rising tension in the Middle East, local media reported on Friday, citing major credit rating agency Fitch.

Highlighting that Greece’s net oil imports from the region amount to 6.9% of its GDP, and energy accounts for 8.2% of the Consumer Price Index basket, Fitch said the country’s dependence on Mideast oil is the highest among developed economies, as is its reliance on exports to the Middle East and North African region, reported daily Ta Nea.

Greece’s high public debt also makes it more vulnerable to economic disturbances related to oil supply and price fluctuations, it added.

According to Fitch, Greece is also among the top 10 developed countries’ economies most at risk from potential disruptions in transport through the Strait of Hormuz.

The likelihood of the conflict between Israel and Iran escalating into an all-out war would also have severe consequences for economies across the region, it added.