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Queue for a bank in Athens
Many still have the image of “bankrupt Greeks” on the head. But Greece is surprising; Pragmatism instead of pessimism.
Southern Europe was the “target” in Troika times. Portugal, Spain, Italy and Greece formed the denominated Piyg (which joined Ireland as well), the group of countries that were not “pigs” but more fragile countries at the economic level.
The focus was on Greece, most of the time. During the European sovereign debt crisis (mainly between 2010 and 2015), Greece was often described as being technically bankrupt. It was not a “bankrupt country” but almost.
The deficit reached records, the country could not afford public debt without foreign help, was the target of successive European Union rescue programs, European Central Bank and IMF (Troika), international confidence was less and smaller.
But forget This country in technical insolvency. The biggest difficulties have been behind and now the Greece is surprisingR people with practical reforms.
The Assistant Chief Editora, Kirsten Ludowig, admits that the image that still reigns in his head is that of the “bankrupt Greeks.”
However, the reality is now another: the country is generating budgetary surpluses, its high indebtedness rate is decreasing and the economy is the to grow twice faster than the European Union average.
There are still many unemployed, qualified workers are still missing, income is still low and the investment is slow – but the Greek government is moving in many ways.
The growth of Commence It appears to be robust: about 2.3% in 2024, with predictions of 2.3% in 2025 and 2.2% in 2026, driven by solid domestic consumption and investments with European support.
A public debt It decreased by more than 40 percentage points since 2020, being approximately 154% of GDP by 2024.
Also last year, a Budgetary Superavit 1.3 % of GDP; In 2025 a continuous primary surplus of about 2.4%is expected.
O banking system It has stabilized: sharp reduction of toxic assets, recovered profits, and return of banks to dividend payments for the first time since 2009.
A inflation is slowing, the unemployment It is falling – from 10.1% last year for an 8.7% forecast next year.
As tax reforms – as a fight against tax evasion and expense control – were fundamental to this general improvement.
Moody’s has considered that Greece “is returning to normality European ”, thanks to recovered public finances, political stability and reforms in the fiscal system.
To this trilogy are added other factors: discipline budgetary, control rigorous public accounts, growth of Tourism, restructuring of debt, transformation digital in public administration, strong reaction capacity to COVID-19 Investments foreigners and funds Europeans.
Firm growth, debt reduction, budget surplus, fall inflation, stabilized banks and investment to return.
A case highlighted in Handelsblatt is that of the Minister of Labor and Social Affairs, Niki Kerameos: will present a law that allows working hours More flexible and more or less work in certain weeks as needed.
It is also scheduled for a four -day week. The Greek model allows the standard working hours of 40 hours per week to be distributed for four days of 10 hours each.
It will be “a law that stems from practical experience”, justified the minister, who received and accepted many suggestions from employees and employers.
This collaboration, all with the same objective, reaches several sectors.
