Greece's financial stability restored with EU support
After completing the ESM country's growth is steady, unemployment is going down and public finances have improvedEuropost
Today, 20 August, marks one year since Greece successfully concluded its European Stability Mechanism (ESM) stability support programme. The 3-year programme took a coordinated approach to tackling long-standing and deep-rooted structural issues that contributed to Greece experiencing an economic crisis and losing access to financial markets.
In total, Greece's European partners provided €61.9bn in loans in return for the Greek authorities implementing a comprehensive reform package. And indicators confirmed that the reforms have laid the foundations for a successful economic recovery and are already are delivering tangible benefits: the unemployment rate dropped to its lowest since 2011, the growth is steady and public finances have improved.
In a statement released today, the European Commission congratulated the country on its success and announced that Greece is now fully integrated into the European Semester. The EU's executive, however stressed that it remains crucial that the Greek authorities to continue focusing on fully addressing the social and economic consequences of the crisis years. Thus the continued delivery of agreed reforms is being monitored under the Enhanced Surveillance framework.
“Greece has come a long way since completing its stability support programme a year ago. Economic data is showing positive signs, indicating efforts will continue to bear fruit for a society that has seen a lot of hardship," Pierre Moscovici, Commissioner for Economic and Financial Affairs, Taxation and Customs, commented.
Yet, he insisted that the challenges still remain and that country's "willingness to engage, actively, in the process of reform completion – and to work closely with European partners – will be essential to supporting stability, growth, job creation, and a better social welfare system in the months and years to come."
"It is important that all public and private actors work together to secure and sustain a better future for the Greek people. The European Commission will remain by Greece's side and support its central role as a member of the European Union and euro area," he then added.