Alexis Tsipras urges investors to capitalise on Greek economy’s positive momentum
Prime Minister Alexis Tsipras, in his address to the City in London on Tuesday, called on investors to capitalise on the positive momentum of the Greek economy in order to support the dynamic recovery of the country.
According to sources, Tsipras said that the recent deal on the debt marks the end of austerity programmes for Greece, and opens up a clear corridor for the future of the Greek economy and the country.
As he noted, “the Eurogroup’s decision is restoring the country’s credibility and laying the foundations for a stable and sustainable return to the markets.”
The prime minister addressed about 120 representatives of the investment community. A meeting with a small number of participants followed.
The Vice Chair of the City’s Policy and Resources Committee Tom Sleigh had earlier welcomed Tsipras and outlined the prospects of the Greek economy. He also referred to Britain’s growth rate, which is lower than in Greece, and commented on the weather.
According to government sources, Tsipras talked about reforms that aim to boost and attract foreign direct investment and large foreign investments to Greece and make the country investor-friendly. He stressed the incentives provided under the new development law, such as the stable tax framework for the next 12 years. He also referred to the simplification of procedures and spoke about a number of growing sectors of the Greek economy (exports, manufacturing, tourism, industry).
Regarding the Greek banking sector, the prime minister noted that banks have passed stress tests with great ease and are now ready to finance growth. In the same context, he spoke about the establishment of a development bank. Tsipras stressed that Greece’s human capital and young scientists are an important area that the country wants to invest in.
“Our goal is a country with a modern and dynamic economy in an environment of social justice,” he noted, while adding that past mistakes, which led the country to a crisis, should not be repeated and stressed the importance of structural reforms.
According to the same sources, the prime minister highlighted Greece’s unprecedented performance in meeting fiscal targets, which no one had expected. Since 2016, Greece was not just meeting but actually exceeding these targets, he pointed out. He noted, however, that while fiscal stability was important, “social policy is equally important.” For this reason, he added, much of the fiscal space in the coming years will be used to pursue social policies, as well as boosting growth.
During the discussion, the prime minister referred to the agreement on the FYROM name issue and the greater potential this created for joint development, prosperity and investment opportunities in the Balkans.