'Der Handelsblatt' - The Focus Should Be Support for Greece's Real Economy

Handelsblatt (Photo credit: Wikipedia)

Staying "afloat" and supporting the real economy must be Greece's top priority at the present time, Greek Development, Competitiveness, Infrastructure, Transport and Networks Minister Kostis Hatzidakis stressed in an interview with the German newspaper "Der Handelsblatt".

Hatzidakis, who visited Berlin this past week, admitted that unemployment and rising poverty in Greece were his main worries, adding that the government was making efforts to support the weakest social groups to the extent that the restricted budget and the cuts to government spending allowed, while concentrating its efforts on the recovery of economic growth.

"We are sailing in a storm with a strong wind of 10 Beaufort. The first thing we had to do is not capsize. So far we have been able to avoid this...Now we must do everything we can to support the real economy," he said.

According to Hatzidakis, a lack of liquidity in the Greek market was the first problem that had to be solved and the upcoming bank recapitalisation would play a key role in this direction.

During his meeting on Thursday with German Economics Minister Philipp Roesler, Hatzidakis said he intended to convey the Greek government's determination to do everything necessary for the country to make progress and fulfill the expectations of Greece's European partners.

In response to questions about why someone would want to invest in Greece at this time, the minister emphasised that Greece was close to "getting back on its feet" and had carried out significant structural reforms, creating a business friendly environment. "The taxation system is being simplified to a great degree and foreign investors will also benefit from this. In addition, there is close cooperation with the European Commission Task Force in tackling graft," he pointed out.

He highlighted sectors such as tourism, energy and organic farming as highly promising for potential investors, while adding that the government will make every effort to make up for lost ground in terms of privatisations.

The minister referred to 29 privatisation plans now underway, starting with those for the Public Gas Corporation and the OPAP state lottery and football pools company and continuing with ports, airports, real estate, post offices and the railways.

"2013 will be the year of privatisations," he told the newspaper, while stressing that the government's job was to ensure that the right conditions for investments. (AMNA)