Greek economy: The guidelines of the Development Plan

Greek economy: The guidelines of the Development Plan

The government is on the track of drafting the Development Plan, which is extremely important as Greece will move on based on it in the years to come after the end of the programme in August and is expected to be presented as the first official Eurogroup text on April 27.

This strategy will simultaneously address 4 audiences (institutions, markets, creditor states and Greek society) and will reflect the government’s willingness to ensure fiscal stability and to pursue structural reforms at state level and in the sector of the economy.

A strong social pillar with interventions in support of labour and the welfare state that will send the message that the country is changing its page after the expiration of the memoranda is expected to be included within this framework; this will create a sense of hope and perspective in society, and will contain specific targets for the reduction of unemployment.

The main focus of the strategy is human capital as a means for the gradual upgrading of the Greek economy in the production of higher added value products and services, towards the direction of the fourth industrial revolution and generally its transformation into an advanced economy of knowledge.

Challenges

Key challenges for the government are to strengthen the productive potential of the Greek economy, to increase employment, with particular emphasis on the integration of human resources – especially those specialised – into the economy, the reversal of the Greek migration trend, especially of the  scientific personnel, stopping the further reduction of the country’s population, the improvement of social and regional cohesion and the reduction of poverty; the environmental sustainability. These challenges, if properly scheduled, constitute a fully coherent national-social and environmental rectifying set of interventions for the future of the country and include:

Orientation towards a new production model by (a) enhancing the technological content of products and services; (b) switching to internationally marketable products and products of higher added value; and (c) the effective integration of skilled human resources;

2. Enhance business visibility

3. Strengthening the domestic production potential through the creation of integrated value chains

4. Strengthening business networks and clusters of businesses

5. Strengthening industry and manufacturing

Foreign investments

Key instruments for achieving the strategy objectives to be included in the Development Plan are:

– Through structural reforms, improving the economic environment

-Increasing investment, Foreign Direct Investment (FDI) including

– Improving the adequacy of the financial system

-Implementation of actions to tackle unemployment

-Development of Public Private Partnerships (PPPs), by making more effective use of public property, but also by making use of the currently lengthened or poorly exploited part of the public

-Development of the social economy

-Upgrading Public Administration and Education

-Through integrated development planning, coherent coordination, effective implementation, ongoing monitoring and evaluation in the context of a fully upgraded and reformed effective state…. / IBNA