This is a doom loop being exacerbated by the on-going fiscal austerity.
The other point is that while the nation is not in recession yet, there is a reluctance to invest in new productive capital given the rising uncertainty that the austerity has caused.
Ultimately, as at the turn of the century, the unsustainable currency peg against the US dollar will probably be the factor that hastens the government’s downfall.
They will require further IMF and US government support to maintain this peg and that will come at a cost of the conditionality, which in the context of the IMF, with its chainsaw pin wearing boss, will involve even more damaging austerity.
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