The data regarding the implementation of the budget in the first quarter of the year confirms the continuation of positive developments in public finances. After many years the waste and chaos of the public sector appears to have entered a path of steady recovery. This development is even recognized by the creditors and our partners, as well as the credit markets that are investing in a better future for our country.
While the situation is improving in the public sector, the conditions in the private sector continue to be rather difficult. Despite the indications of an improved climate, the critical funding problem remains unsolved. Some large businesses of course are slowly gaining access to funding with a cheaper interest rate, but the vast majority of small and medium-sized businesses remain excluded from the banking system.
Indicative of the immense pressure businesses and people are under is the fact that the debt towards the state increases by almost 1 billion euros a month, while bank account deposits are reduced by just as much. In the mean time, exports seem to have reached a turning point, as they appear to have reached their limit after a steady rise.
The National Bank and Eurobank, both of which are taking advantage of the positive climate for Greece, are about to exit to the markets; if this takes place it will be a breath of fresh air, but it will not be enough to essentially change things. The implementation of a mutual Greek-German fund that has been discussed for some time, if it ever happens, will give small and medium-sized businesses a boost.
Clearly though, what is needed is a wider plan of national reconstruction which will determine the sectors that can develop, but will also secure funding sources. Now that things are looking up for the first time, we must not jeopardize everything in a climate of political uncertainty. We have the opportunity and ability, just like new and old entrepreneurs demonstrated to Mrs. Merkel. We must let this go to waste.
TO VIMA
