1 Dimitris Mardas Department of EconomicsAristotle University of Thessaloniki Member of Greek Parliament

2 The need of a dynamic investment process in tradeable goods and services

3 Troika’s concept Y = C + I + G + (X-M)

4 The weakness link: Lack (Q/E) or inefficient (ELA) liquidity in the short run. Regarding the medium and long run effects: Lack of Savings Privatization process NPL’s Specific Investment Funds (Regional Funds, Marshal plan targeting very small SME’s)

5 Solution: National currencySolution: National currency? Liquidity (budget deficit, foreign currency needs) and competitiveness

6 Euro vs flexible exchange rates1980 1$ = 42,6 DRH, Exports 5 bin $ , 1$=380,79 DRH, Exports 10 bin $

7 Greece needs an investment shockGreece needs an investment shock! More than 100 bn euros investment is needed In the next 7 years

8 De-industrialization processCommon variables Globalization process (1961) Single Market exercise (1992) Euro (2000) Non common variables (short/medium run) Taxes rates / regulations Access to financing Policy instability Specific variables (Long run effects)

9 Specific variables Business culture Bureaucracy / corruption Industrial relations The need of correction measures for the regeneration of the industry.

10 Basic reasons to invest in Greece despite all these weaknessesPositioned strategically at the crossroads of three continents. Major transportation and energy crossroad between East and West Big Logistic Center Exceptional human capital with specific know-how and international experience available

11 Oracle has significantly enhanced its regional operation in Greece, by adding a full-scale global development hub for its cloud technologies. The hub operates since April 2015 and it’s the second largest in number of engineers of Oracle’s 5 global hubs (USA, UK, India, Netherlands, Greece). The 13 Greek software engineers working in Athens are part of a 57-member global team responsible for delivering Oracle’s next generation Cloud services to its customers in a consistent and scalable way.

12 Innovation and Design Thinking in Mobile Applications and ServicesSamsung Electronics in cooperation with Athens technopolis and the Economics University of Athens

13 Nokia presence in Greece is focused mainly in two fields: Customer operations (sales and service office) and Networks with a R&D center Nokia Networks Hellas is operating as an operations hub for the wider Balkan geographical area, being responsible for business in neighboring Albania, Cyprus, as well as responsible for customer specific sales activities in Romania and others.

14 Investment policies Necessary conditions Sufficient conditionsSmall and Medium Enterprise Policies FDI’s policies Investment incentives, favoring extroversion, compatible to EU competition Sufficient conditions Digital strategy / Start up companies / Biotechnology The Hellenic Fund Aerospace /Electrical and mechanical Engineering Big projects on tradeable goods and services Starting point: The strong competitive sectors

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17 Job for Job Tourist villages for retired persons etc, and exchange of them against arms

18 Thank you