In an interview with the French weekly L’Express, Greek Finance Minister and Eurogroup President Kyriakos Pierakakis outlined Greece’s economic transformation since exiting its debt crisis—and its ambition to serve as a catalyst for pan-European industrial champions.
Lessons from the Crisis and a New Economic Model
Pierakakis reflected on Greece’s financial crisis, noting that the country’s pre-2008 economic model—built heavily on domestic consumption, with insufficient emphasis on innovation and exports—had fundamentally failed. He stressed that poor crisis management by the previous government exacerbated the situation, pointing out that while three other eurozone countries required only one bailout programme, Greece needed three—a fact he described as evidence of political mismanagement at the time. He cited the 2015 referendum as a turning point, calling it a costly and painful consequence of populism.
Strong Recovery and Labour Market Gains
According to Pierakakis, Greece has now decisively moved past that era. Since the New Democracy government took office in 2019, over half a million jobs have been created. Unemployment is nearing its lowest level in modern Greek history. The government forecasts GDP growth for 2026 at double the eurozone and EU averages—even amid regional instability in the Middle East, which led to a downward revision of the 2026 projection from 2.4% to 2%. In contrast, the forecast for 2027 was recently raised from 1.7% to 2%, signalling growing confidence in Greece’s trajectory, especially as disbursement of post-pandemic EU recovery funds nears completion.
Public Debt, Tax Compliance, and Export Growth
The minister also highlighted progress on public debt, which stood above 200% of GDP in 2020 but is expected to fall below 140% this year—and further to under 120% by 2029. This reduction, he explained, stems from sustained primary surpluses and early repayment of older, more expensive loans. “Our political message is clear,” he said: “We have no intention of passing this burden on to the next generation.”
Exports now account for 42% of GDP—double their share in 2009—though still below the EU average of 51%. Pierakakis emphasized that completing Greece’s productive model remains a priority, underscoring the country’s broader strategic goal: to evolve into a dynamic hub that helps build European-scale industrial leaders.