Athens, September 30, 2016/Independent Balkan News Agency
By Spiros Sideris
The need for a new development model in Europe “fairer, more social and more participatory”, underlined the Minister of Finance, Euclid Tsakalotos speaking at the European Investment Bank event in Luxembourg on the recovery from the crisis and the real economy, at a macroeconomic but also social level.
“The aim of the Greek government is for Greece to return to growth, but to a sustainable growth”, he stressed, adding that for this to become a reality there must be a fairer distribution of profits to employees and the periphery, but also to have a greater democratic control of policies decisions.
The FinMin began his speech by criticizing the functioning of eurozone, noting that even by the loose monetary policy of the ECB, those that primarily benefit are the Northern countries and not those of the South that need it the most.
In the same way, he said, to achieve a balanced recovery what’s needed are investments and especially investments that will be directed primarily to SMEs, which currently finding it difficult to access financing from commercial banks.
“The EIB’s role in this is crucial”, he stressed and welcomed the recent proposal of the European Commission President Jean-Claude Juncker for strengthening of the Strategic Investment Fund.
In addition, he sent a clear message that in order for Greece to be able to attract investments, an agreement on the debt is needed as soon as possible.
“Investors are waiting for political decisions. If these come in five years they will invest in five years”, he warned, and pointed out that the level of wages is also the driving force for development.
Regarding the strategy of Greece on the road to sustainable recovery, he noted that efforts are being made to address decades of weaknesses, such as the organization and the use of publicly owned assets through the new Fund, the fight against tax-evasion, bureaucracy and corruption.
“It took a left government to for the VAT to be collected on the three richest islands of Greece: Mykonos, Santorini and Rhodes,” he said.