Greece Economy Profile 2009

Economy - overview

Greece has a capitalist economy with the public sector accounting for about 40% of GDP and with per capita GDP about two-thirds that of the leading euro-zone economies. Tourism provides 15% of GDP. Immigrants make up nearly one-fifth of the work force, mainly in agricultural and unskilled jobs. Greece is a major beneficiary of EU aid, equal to about 3.3% of annual GDP. The Greek economy grew by nearly 4.0% per year between 2003 and 2007, due partly to infrastructural spending related to the 2004 Athens Olympic Games, and in part to an increased availability of credit, which has sustained record levels of consumer spending. But growth dropped to 2.9% in 2008, as a result of the world financial crisis and tightening credit conditions. Greece violated the EU's Growth and Stability Pact budget deficit criteria of no more than 3% of GDP from 2001 to 2006, but finally met that criteria in 2007-08. Public debt, inflation, and unemployment are above the euro-zone average, but are falling. The Greek Government continues to grapple with cutting government spending, reducing the size of the public sector, and reforming the labor and pension systems, in the face of often vocal opposition from the country's powerful labor unions and the general public. The economy remains an important domestic political issue in Greece and, while the ruling New Democracy government has had some success in improving economic growth and reducing the budget deficit, Athens faces long-term challenges in its effort to continue its economic reforms, especially social security reform and privatization.

GDP (purchasing power parity)

$343 billion (2008 est.)
$333.3 billion (2007 est.)
$320.5 billion (2006 est.)
note: data are in 2008 US dollars

GDP (official exchange rate)

$357.5 billion (2008 est.)

GDP - real growth rate

2.9% (2008 est.)
4% (2007 est.)
4.5% (2006 est.)

GDP - per capita (PPP)

$32,000 (2008 est.)
$31,100 (2007 est.)
$30,000 (2006 est.)
note: data are in 2008 US dollars

GDP - composition by sector

agriculture: 3.7%
industry: 20.6%
services: 75.7% (2008 est.)

Population below poverty line

NA%

Labor force

4.96 million (2008 est.)

Labor force - by occupation

agriculture: 12.4%
industry: 22.4%
services: 65.1% (2005 est.)

Unemployment rate

7.7% (2008 est.)
8.3% (2007 est.)

Household income or consumption by percentage share

lowest 10%: 2.5%
highest 10%: 26% (2000 est.)

Distribution of family income - Gini index

33 (2005)
35.4 (1998)

Investment (gross fixed)

20.7% of GDP (2008 est.)

Budget

revenues: $126.5 billion
expenditures: $144.4 billion (2008 est.)

Public debt

97.4% of GDP (2008 est.)
112% of GDP (2004 est.)

Inflation rate (consumer prices)

4.1% (2008 est.)
2.9% (2007 est.)

Central bank discount rate

3% (31 December 2008)
5% (31 December 2007)
note: this is the European Central Bank's rate on the marginal lending facility, which offers overnight credit to banks in the euro area

Commercial bank prime lending rate

NA% (31 December 2008)
7.71% (31 December 2007)

Stock of money

$NA

note: see entry for the European Union for money supply in the euro area; the European Central Bank (ECB) controls monetary policy for the 16 members of the Economic and Monetary Union (EMU); individual members of the EMU do not control the quantity of money and quasi money circulating within their own borders

Stock of quasi money

$NA

Stock of domestic credit

$368.9 billion (31 December 2008)
$365.9 billion (31 December 2007)

Industries

tourism, food and tobacco processing, textiles, chemicals, metal products; mining, petroleum

Industrial production growth rate

3.2% (2008 est.)

Electricity - production

59.33 billion kWh (2007 est.)

Electricity - production by source

fossil fuel: 94.5%
hydro: 3.8%
nuclear: 0%
other: 1.7% (2001)

Electricity - consumption

55.98 billion kWh (2006 est.)

Electricity - exports

269 million kWh (2007 est.)

Electricity - imports

5.894 billion kWh (2007 est.)

Oil - production

4,265 bbl/day (2007 est.)

Oil - consumption

441,400 bbl/day (2007 est.)

Oil - imports

527,200 bbl/day (2005)

Oil - exports

125,100 bbl/day (2005)

Oil - proved reserves

10 million bbl (1 January 2008 est.)

Natural gas - production

24 million cu m (2007 est.)

Natural gas - consumption

4.069 billion cu m (2007 est.)

Natural gas - exports

0 cu m (2007 est.)

Natural gas - imports

4.1 billion cu m (2007 est.)

Natural gas - proved reserves

1.982 billion cu m (1 January 2008 est.)

Current Account Balance

-$51.53 billion (2008 est.)
-$44.4 billion (2007 est.)

Agriculture - products

wheat, corn, barley, sugar beets, olives, tomatoes, wine, tobacco, potatoes; beef, dairy products

Exports

$29.14 billion (2008 est.)
$23.91 billion (2007 est.)

Exports - commodities

food and beverages, manufactured goods, petroleum products, chemicals, textiles

Exports - partners

Italy 11.5%, Germany 10.5%, Bulgaria 7%, Cyprus 6.2%, US 5%, UK 4.7%, Romania 4.4% (2008)

Imports

$93.91 billion (2008 est.)
$80.79 billion (2007 est.)

Imports - commodities

machinery, transport equipment, fuels, chemicals

Imports - partners

Germany 13.3%, Italy 12.8%, China 6.2%, France 5.6%, Netherlands 5.1%, Russia 4.7% (2008)

Reserves of foreign exchange and gold

$3.473 billion (31 December 2008 est.)
$3.658 billion (31 December 2007 est.)

Debt - external

$504.6 billion (31 December 2008)
$454.2 billion (31 December 2007)

Stock of direct foreign investment - at home

$36.7 billion (31 December 2008 est.)
$53.22 billion (31 December 2007 est.)

Stock of direct foreign investment - abroad

$32.44 billion (31 December 2008 est.)
$31.65 billion (31 December 2007 est.)

Market value of publicly traded shares

$NA (31 December 2008)
$264.9 billion (31 December 2007)
$208.3 billion (31 December 2006)

Economic aid - recipient

$8 billion annually from EU (2000-06); Greece will receive about $3.8 billion per year between 2007-13 under the EU's Community Support Funds IV

Economic aid - donor

$424 million (2006)

Currency (code)

euro (EUR)

Currency (code)

EUR

Exchange rates

euros (EUR) per US dollar - 0.6827 (2008 est.), 0.7345 (2007), 0.7964 (2006), 0.8041 (2005), 0.8054 (2004)

Fiscal year

calendar year