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Simona Peneva

    Greece’s Minister of Finance Gikas Hardouvelis said that as regards the Greek economy a major change is expexted in 2015. "We have experienced six years of recession, the gross domestic product (GDP) has significantly fallen and now comes the time for stabilization. It is significant that the primary surplus of Greece was 0.9% in 2013, 1.5% in 2014 and it is expected that it will reach 3% in 2015," added the Minister. He stressed that the Greek economy has to be competitive, reliable on a global scale and to create an investor-friendly climate.
      "Right now the economy relies on investment the most. In 1997, investments were 17.7% of GDP, and after ten years, in 2007, they reached 26.6%. In 2013, they fell to 12.1% of GDP, which was the lowest value since the 1960s," said Gikas Hardouvelis. Because investment is the factor that will restore the power of the Greek economy, the state has provided the necessary conditions to attract international capital and ensure its sustainability over time.
     More than twenty international companies, including ΙBM, Nokia and Samsung, recognize the economic development of Greece, investing in its market. It is expected that, by the end of 2015, investments in regional airports alone will amount to 350 million euro whereas the National Strategic Reference Framework will provide 4.9 million euro more. The reform plan to raise foreign investment and develop the economy provides for simplifying the tax code, institution development, improving the business environment and the public sector, faster justice and strengthening the education system. "With this development policy we will secure new jobs and alleviate the Greek entrepreneur", said the Minister of Economy.
     "The subject of investment and prospects for development cannot be more relevant. The Greek economy is a step away from the normal development that it had years ago," stated Konstantinos Michalos, president of the Athens Chamber of Commerce and Industry. According to analysts, GDP will increase by 2.9% in 2015. Konstantinos Michalos also said that good, sound financial policies, greater national wealth, domestic investment, significant fiscal incentives, a new infrastructure for new jobs and more action are also required.
     "Our goal is to increase investment. Since 2012 Greece has moved forty positions up in the table of foreign investment, however we do not want it to be in the middle but to take higher positions," he said. The interest rates on loans to Greek companies are about 2-3 times higher than the rates under the European standard. According to Kostantinos Michalos, Greece should create a stable and favourable environment for investors by reducing these rates and simplifying the tax code, which hampers business, because it changes almost every three months, as well as create political stability and reliability to inspire confidence in international investors.
     Shipping is also a key factor for the economy, and it is positive because of the geographical location of Greece. Its contribution to GDP was 6.5% and the price of investment zero. "We want to keep this zero-cost investment in the shipping sector and to expand it to enable international investors to take advantage of it," said Miltos Varvitsiotes, Minister of Merchant Marine. In his speech, he described as important the development of shipping education, the recovery of infrastructure as well as the development of all ports and maritime tourism, which has the ability to provide new jobs.
     Perhaps tourism is the most important sector of the Greek economy, even more important than shipping. From 2014 to the present day, the number of visitors to Greece has reached about 21 million and the revenue from tourist visits totals 13.5 billion euro. "20% of jobs in Greece are provided by the tourism sector and its contribution to GDP is 18-20%. Tourism can support development, increase GDP, create more jobs. We are ready to accept every new investment proposal," said Athanasios Liaskos, Secretary General at the Ministry of Tourism.
     In the energy sector, the budget deficit has already remained in the past, according to Asimakis Papageorgiou, Deputy Minister of the Ministry of Environment and Energy. In his opinion, it is necessary to reform the natural gas market and Greece has to become the guarantor of energy security, since with these changes it will attract stable and long-term investments.