Summary Box: Greece says recession milder than forecast but survey shows businesses struggling

Summary Box: Survey: Greek businesses struggling

OUTLOOK: Greek officials say the recession is milder than initially expected and the economy will shrink by less than the forecast 4 percent this year. But a separate survey shows eight in 10 businesses are struggling to stay afloat and 44 percent think they may have to shut their doors.

BACKDROP: Greece narrowly avoided defaulting on its debt in May, after receiving billions in rescue loans from the IMF and European Union. In return, it launched a strict austerity plan that has cut civil servants’ pay and raised taxes.

WHAT’S AHEAD: Greek officials say the overall situation is improving. But while spending cuts are above target, revenue has grown more slowly than expected.