countries. Moreover, Greece and Greek business
enterprises feature a low number of patent appli-
cations. Apart from that, the study points out that
innovation is “concentrated on a few sectors such
as consumer electronics, IT services and phar-
maceuticals”, which absorb nearly 50% of corpo-
rate R&D expenditure.
Problems with SMEs – a relative
strength in human resources
The study also notes that small Greek firms find it
very difficult to finance their innovative investment
plans, especially during the current crisis. It is
estimated that this financing problem could be
solved with the use of EU resources, but this also
has not been possible, due to the very low
absorption rate of Community funds in Greece. It
is noted, though, that one of Greece’s relative
strengths could lie in its high-quality scientific per-
sonnel. These scientists could be a driver for eco-
nomic growth, provided that the appropriate con-
ditions are there. Moreover, although the “data on
higher secondary education indicates at first
glance that Greece’s situation is pretty good”, the
country is lagging behind in terms of university
graduates. Greece needs to improve its institu-
tional framework; invest in education; connect
research and education; connect university edu-
cation with business innovation; support the for-
mation of entrepreneurial and innovation net-
works; attract foreign investment in technology;
promote alternative financing schemes such as
venture capitals; improve the absorption of inno-
vation- and technology-related EU funds; decen-
tralize and diffuse innovation instead of concen-
trating it in urban centres; increase government
and corporate expenditure in research and tech-
nology; and re-orientate the Greek economy
towards more innovative knowledge-intensive
sectors.
According to the study, Greece already enjoys
comparative advantages in tourism and transport,
as well as in the fisheries sector, tobacco produc-
tion, agriculture, food production, textiles, print-
ing, chemicals and pharmaceuticals, plastics, and
metals processing; therefore, these sectors
should provide the springboard for investing in
innovation.
Proposed measures
The study stresses the need for growth-oriented
measures, along with fiscal adjustment meas-
ures, such as:
● Industry-specific investment programmes for
sectors from the high-technology segment,
and provision of incentives for the creation of
innovation centres (connection of entrepre-
neurship centres with Universities and
research programmes).
● Increasing the absorption rate of EU funds that
are earmarked for innovation, technology and
research.
● Attracting strategic and smaller foreign invest-
ment in sectors with high technology intensities.
● Streamlining the framework that governs the
formation of technology firms.
● Making it easier to finance innovative invest-
ment plans.
Trade with Greece
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