In a response from Athens, published on its website, economic review Handelsblatt refers to efforts to combat tax evasion. As it points out, “tax evasion has a tradition in Greece. The Greek government no longer wants to accept something like this and is announcing a series of measures.” The newspaper’s correspondent reports that “black employment is widespread, even among doctors.
According to research by the Institute of Applied Economics of the University of Tübingen, in February 2023, the shadow economy in Greece reaches 21.7% of the officially recorded GDP. Among the OECD member countries, only Italy has a higher percentage, with 21.8%. Germany appears in the middle places of the ranking with 10.2%”.
And the Dusseldorf newspaper continues: “If we believe the tax returns, there are almost no rich Greeks. In 2022, out of 6.5 million taxpayers only 27,000 declared an annual income of more than 100,000 euros. Two out of three taxpayers declare an annual income of less than 10,000 euros.
As Handelsblatt points out “the main tool in the fight against tax evasion is card payments. Most of the transactions in Greece are still done with paper money, despite the 500 euro limit for cash payments. According to data on private consumption the percentage of card payments has increased since 2019, from 20 to 37%. But again, it remains below 46%, which is the average in the eurozone.
Investment grade in 2023?
In Monday’s print edition, Handelsblatt refers to Greece’s efforts to regain “investment grade” from international rating agencies in 2023. As it points out, “this upgrade would improve the conditions for financing not only the state, but also the Greek economy . The country had lost the status of a reliable borrower in the spring of 2010, at the beginning of the debt crisis. However, the market has already discounted the expected upgrade. Risk premiums for Greek bonds are falling. The yield on the 10-year Greek bond is three basis points lower than the corresponding Italian bond, although Italy maintains investment grade.”
Source: Deutsche Welle/Yiannis Papadimitriou
Latest News
Intrum’s 2024 Report Unveils Greek Businesses Embrace Digitalization for Growth
Looking ahead, over 40% of businesses prioritize development for 2024, with 65% recognizing the potential of digital business models as sustainable investments
IOBE: Mild Drop in April Business Confidence Index (BCI) in Greece
The positive balance of expectations for employment witnessed a marginal decline, while the index for production forecasts also recorded a mild drop
Greek PM Mitsotakis Calls on EU to Intervene Over Multinationals’ Pricing Policy
Speaking about price fairness, the Prime Minister emphasized, "Europe should also mean similar or uniform prices for the products sold by our multinational corporations.
Greenhouse Gas Emissions: 4% Decrease in EU, 0.3% Rise in Greece in Q4 2023
The EU's GDP remained stable with a marginal 0.2% increase in fourth quarter of 2023
HEREMA CEO: High Expectations from Natgas Exploration Off Crete
3D seismic surveys were conducted in the two offshore blocks west and southwest of Crete by a consortium comprised of ExxonMobil and HelleniQ Energy
EC Spring Forecast: Greek GDP at 2.2 in 2024, 2.3% in 2025
Besides Greek GDP inflation is expected to drop by a substantial 2.4% in 2024, settling at 2.8% from 4.2% in 2023 with 2025 recording a further decline to 2.1%
EBRD Raises Outlook for Greek GDP to 2.3% in 2024, 2.6% in 2025
Key downside risks remain, associated with possible delays in deploying Recovery and Resilience Facility (RRF) funds and weaknesses in key export markets and tourism source countries
Real Estate Insights: Athens’ Top Areas with the Highest Yields
In the first quarter of 2024, Korydallos in the Piraeus region and the burgeoning Attiki Square retain their top spots with impressive yields of 6.3%
ELSTAT: Inflation at 3.1% in April
Olive oil (63.7%), fruit (11.6%), fish (10.6%), and mineral water (12.5%) registered the highest increases annually
Greek Sunlight CEO Joins Industry Titans at Choose France Summit
At the heart of the "Choose France Summit" was the discussion surrounding the production of lead-acid and lithium-ion batteries, crucial for the green transition and storage of renewable energy.