2)
The current account balance: A huge deficit
has been eliminated in just 4 years. “At the end
of 2012 we had a current account deficit of
almost 2.8 billion euros. Now, we have a sur-
plus for the same period, and at the end of the
year we expect the current account to balance,
or even show a surplus,” the government
stresses at every opportunity. Actually, the elim-
ination of both the budget and current account
deficits, has led to the full elimination of the
causes of the crisis.
3)
The real economy: In 2013, the recession was,
for the first time, lower than what everybody
–Athens, the troika, and all international organ-
Trade with Greece
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izations– expected, largely thanks to tourism.
As a matter of fact, a gradual improvement has
been recorded since the third quarter of 2013,
when the gross domestic product fell by 3%
year-on-year, as compared to y-o-y drops of
3.7% in the second quarter and 5.5% in the first
quarter. Under these circumstances, the Greek
economy is expected to exit the prolonged
recession, while the GDP is expected to regis-
ter a positive growth rate of 0.6%.
4)
The markets: Both the spreads and the stock
market indicate that there is intense interna-
tional investor interest for Greece, mainly owing
to the fact that –as argued by the government–
the possibility of a “Grexit” has vanished.
5)
The banks: They have been recapitalized and
are doing pretty well, according to government
sources, which estimate that their privatization
may begin earlier than anticipated.
The priorities
As far as the Greek presidency is concerned,
there are five top priorities:
●The main objective is to promote the Banking
Union, which is expected to help restore finan-
cial stability, improve the operation of the inter-
nal market and boost the citizens’ confidence in
the financial system.
Above all, the aim is to establish an effective
Single Resolution Mechanism (SRM), which will
attempt to break the vicious circle of banking and
public debts and is expected to effectively safe-
guard banks throughout the European Union.
● In the same context, the Greek presidency will
seek to enhance the social dimension of the
Economic and Monetary Union, which is one of
the key pillars of the euro zone’s integration.
Especially under today’s conditions of soaring
unemployment and recession in many member
states, introducing social and labour parameters
in the analysis employed for the coordination of
economic policies and the debate for the future
of the EMU is more than necessary.
●Following the joint initiative of the European
Commission and the European Investment
Bank (EIB) for injecting liquidity in the economy
and, in particular, for facilitating the access of
small and medium-sized enterprises to finance,
the presidency will help the ECOFIN Council
monitor the progress of the financing tools, with
a view to enhancing sustainable growth and job
creation.
●A key objective of the Greek side is to promote
effective taxation policies, with the aim of com-
bating tax evasion and tax avoidance.
