Greek FinMin Expects Investment Activity to Pick Up in 2023

Greek Finance Minister Christos Staikouras.

Investment activity in Greece is set to accelerate this year and next, according to Greek Finance Minister Christos Staikouras.

In an interview to Parapolitika 90.1, Staikouras said the rate of growth in Greece would be triple compared to the rest of Europe.

“Greece will continue to suffer the effects of the global crisis on the economy, however it will be better off than Europe and will not fall into recession unlike half of Europe,” he said.

Staikouras sees investment activity keeping Greece above water in the next few years much of which will be focused on tourism.

Under Greece’s national recovery and resilience plan Greece 2.0 (Ellada 2.0), nearly 300 investment proposals amounting to 10.53 billion euros were submitted in 2022 of which 167 (2.25 billion euros) were by small and medium-sized (SMEs) businesses.

Last month, a Eurobank report found that Greece’s tourism sector would be one of five industries to attract foreign direct investment which will in turn boost the economy through to 2025.

At the same time, earlier this month, Alpha Bank analysts said investments and FDI would be the driving force of the Greek economy in 2023 as well as the effective use of RRF and other EU funds and the timely completion of projects. Key to ensuring FDI flows is to maintain strong tourism demand and achieve higher travel-related revenues, the bank said.

The tourism sector has over the last few years attracted major investments. According to the country’s central bank, Greece has gained ground as an attractive investor destination recording a 74.3 percent increase in foreign direct investments (FDI) in 2021 despite the insecurity and competition in the midst of Covid-19.

Staikouras named Finance Minister of the Year

In relevant news, earlier this month, The Financial Times’ The Banker magazine named Staikouras as “Finance Minister of the Year” for 2023.

Commenting on the award, Staikouras said it was an honor and that it was a distinction for Greece, for its people and businesses reflecting the acknowledgement and approval of the international community for the country’s progress and performance in field of the economy.

“This award is a reward for the sacrifices of the Greek people, the adaptability and resilience of the country’s businesses,” he said.