COMMISSION STAFF WORKING DOCUMENT Analysis of the recovery and resilience plan of Greece Accompanying the document Proposal for a COUNCIL IMPLEMENTING DECISION on the approval of the assessment of the recovery and resilience plan for Greece

Abstract

Greece has been severely affected by the coronavirus pandemic, as the structure of its economy with a large share of tourism and transport services sector, and the high share of micro enterprises have made it particularly vulnerable to the shocks triggered by travel restrictions and social distancing measures. At the end of 2019, Greece’s recovery from the decade-long financial crisis was taking hold, with business and consumer confidence at pre-2010 levels, and disposable income, investment and consumption steadily increasing. The positive trends that had started to materialise as a result of the reforms implemented under the macroeconomic adjustment programmes and its aftermath were largely interrupted by the outbreak of the pandemic, which put the challenges related to Greece’s high public debt, incomplete external rebalancing and high ratio of non-performing loans to the spotlight again. It also highlighted the importance of addressing the large investment gap, social and economic inequality and high unemployment, especially of women and young people.