Also, recording primary budget surpluses between 3-4 pct of GDP were not something new to Greece, as they appeared again in the 1990s. Another positive factor was that Greece offers great investment opportunities (national roads, ports, marinas, airports, holiday homes, energy networks, renewable energy sources, minerals and the primary sector. The country also can speed up absorption of EU funds worth 15 billion euros, which combined with European Investment Bank funds could boost economic growth. IOBE stressed that deregulating the most closed economy of the OECD to competition forces and abolishing all counter-incentives to business activity and investments could create a growth dynamism and new job positions in the medium-term. Greece also has the unprecedented support of the Eurozone, the IMF and the ECB.
IOBE said the country needed a 10-year development program, to gradually cut its fiscal deficit below 2.0 pct of GDP by 2015 through cutting spending and the size of the state, lower payroll costs in the general government and limiting tax breaks and tax evasion.
The Institute also called for a wide-range program of privatizations and exploitation of the state property assets and said urgent measures were needed to boost liquidity in the economy and abolishing counter-incentives to business activity and investments.