Staikoura warnings from Thessaloniki
In the age of globalization, everything in the economy is a chain, so when some links are broken, the problem is transferred.
His visit Christos Staikoura in Thessaloniki, the two days of March 2 and 3, has been scheduled for a long time. And yet before Russian invasion of Ukraine. What is certain is that the beginning of the war that has been raging for ten days, with significant humanitarian and economic consequences, changed the agenda of the Minister of Finance, who in his meetings with the representatives of the productive bodies, but also of the business community, referred to favorable prospects for the Greek economy and the goals of the government, but dropped the weight on growing uncertainties in the aftermath of the fighting and bombing in Ukraine. Apparently, it is no coincidence that Mr. Staikouras warned the companies of the North about the increased possibility of the energy crisis intensifying, especially with regard to the prices of gas, which may triple, dragging the prices of electricity to many.
Although the markets of Russia and Ukraine both at the level of Greek exports and at the level of tourist reception, mainly Northern Greece –Western Macedonia (furs), Central Macedonia (fruit, canned), Halkidiki, Pieria, Thassos (hotels, rooms to let) – the remarks of YPOIK of an entire business community of the country. This is because the consequences are not limited to the two warring countries, but in practice have a global impact. Because in the age of globalization everything in the economy is a chain and so when some links are broken the problem is transferred. It is characteristic that Mr. Staikouras, evaluating the data that lead to uncertainty, ranked international trade first. The turmoil in the financial sector and transport is hampering trade. If one takes into account the rising inflation, which is in full swing, and the contraction of growth due to the increases in energy, agricultural supplies, agricultural products and the reduction of tourism, one realizes on the one hand the difficulty in managing the situation and on the other the certainty that they will be created. black holes “, into which some will fall.
The second big field of problems, about which Chr. Staikouras, is the budget, which is now “broken” by two bands. First of all, the decrease in the confidence of the markets in Europe, which will increase the cost of money for the EU countries and especially for Greece, which is still under enhanced supervision and outside the investment grade. In addition, it is a given that there will be an increase in public spending, because European countries – and Greece – will help Ukraine financially, treat refugees, increase defense spending and support households and businesses through public funds, especially against energy burden.
In this environment described by Christos Staikouras, Greek companies will move, the additional intentions come from a tough confrontation not only with the economic reports of the pandemic, something that concerns the whole planet, but also with the bankruptcy of the country and the recession in the decade. . of 2010.
In these 12 -so far- difficult years o business world of Thessaloniki and Northern Greece came out captured and with losses. There were thousands of padlocks, even more companies that are in “black stores” due to debts. It is characteristic that in processing whole branches shrank to… disappearance – typical are the examples of all kinds of furniture – while in trade whole squares were leveled – such as well-known streets in the historic center of Thessaloniki, which were bright and expressed only in darkness. Venizelou, Valaoritou, Ptolemy and others.
Until ten days before the war began, interest in the next day of the Greek economy was focused on the creative utilization of EU funds. The Fund for Recovery and Sustainability, the new NSRF and the New Common Agricultural Policy, which can, through the road, supply investments of over 200 billion. euros by the end of the decade. Without going beyond this plan at the moment, the country – public and private sector – is now obliged to revise goals. Next week, the commission is due to announce its support for households in the face of rising energy costs. So that the business cycle remains as active as possible and businesses retain their ability to invest. Things will not be easy. Mr. Staikouras for two days in Thessaloniki warned about this. Either directly in his private meetings or implicitly and. Rounded up in his public statements. As is well known, the importance of political statements is often hidden in the context and in the reading between words and lines.