Whatever objections one may have about the European Union’s policy, the conclusion of Jean-Claude Juncker at the Tuesday evening gathering at SEV was absolutely realistic. On the last program that was agreed upon, the Commission president noted that it was perhaps the final opportunity to do what is good and necessary for Greece. The Greek government, he added, chose the policy mix that was necessary to implement the agreement and is obliged to do so and take ownership of the deal.
A better climate in the economy is emerging, thanks to bringing an end to the uncertainty by concluding the first bailout review and in spite of the major delay. This is not enough for a return to normality though, to attract the investment funds that the economy needs in order to return to positive growth rates. Promises and grand plans on growth are not enough and cannot be supported by the disorganized public sectors nor the bank sector that is being ravaged by NPLs.
The Prime Minister cannot declare that growth is his top priority and then prioritize the change of the electoral law, which by default generates political uncertainty. At a time when the entire ministerial council and all supervised bodies should be carrying out the necessary reforms and reforming the inefficient and bureaucratic state, the Prime Minister has decided to pick a fight of precarious political impressions.
With about half of the ministers being ‘allergic’ to every private investment effort and doing everything within their power to sabotage them, growth will remain a fleeting dream. With the eyes set on past practices and stuck on ideas of the past, no investor will take the risk and invest in Greece. To paraphrase Mr. Juncker, if they do not take ownership of the belief that investments and growth will only come through the private sector, then we will quickly find ourselves at an impasse once again.
TO VIMA
