Greece » Introduction

Basic Economic Facts

GDP Composition by Sector

Greece, the country of mixed capitalist economy acquire euro as its new currency in January 2002. With the adoption of the euro, Greece got access to competitive loan rates and also to low rates of the Eurobond market. As result, there happened a sudden increase in consumer spending making a significant growth in economy. All this credit paved the ways to more relaxed fiscal policy in 2002, which combined with expenditures associated with the preparation of the Athens 2004, resulted in excessive deficits and debt in 2003 and 2004.

Greece has been a major net recipient of the EU budget. About $20 billion were spent in EU structural funds and Greek national financing, to modernize and develop Greece’s transportation network for Olympics in 2004. EU transfers to Greece continued with approximately $24 billion in structural funds for the time period of 2000-2006. The same $24 billion funding is allocated for the Greece by U.S for 2007-2013. The U.S. trade surplus with Greece was $769 million in year 2007. Besides these U.S. companies are also involved in Greece ongoing privatization efforts.

Greece exports in 2007, stroked up to $23.5 billion including manufactured goods, food, beverages, petroleum products, cement and chemicals. Greece imports are calculated to be $75.8 billion in year 2007, including basic manufacturers, food, animal, crude oil, chemicals, machinery, transport equipments.