LES ECHOS

 

 

  1. You will be presiding over the ministerial meetings of the OECD. Do you think that the current oil price race constitutes a menace to the economies of the developed countries? What could the OECD countries do to alleviate the tensions in the hydrocarbon market?

 

Naturally, high oil prices do impede economic activity and create inflationary pressures that have a negative impact on society. Unlike previous periods when a supply shock triggered high oil prices however, this time the high price of oil can be attributed to brisk global economic growth, which leads to increased demand. Consequently, as long as growth remains vivid, oil should not be considered as a great threat to our economies; furthermore if the rate of growth subsides, then we should expect respective corrections in the price of oil. Nevertheless, we must stay alert and work together on ways that in the medium run will help our economies achieve lower oil dependency. We must be open to discussion and examine carefully every possible alternative. I firmly believe that we must encourage investment on energy generation from renewable sources and promote policies for the conservation of energy that are also friendly to our environment.

 

 

  1. L’arrêt des livraisons de gaz russe à l’Ukraine en janvier a mis en lumière la grande dépendance de l’Europe à l’égard de la Russie pour sesapprovisionnements énergétiques. Comment peut-elle être réduite, selon vous? Une politique européenne de l’énergie est-elle envisageable ? Quelle pourrait être son contenue ?

 

«In November 2000, following a suggestion made by Mrs Loyola de Palacio, Vice-President and Commissioner responsible for energy and transport, the European Commission initiated an unprecedented strategic debate on energy supply inside the European Union. The Green Paper “Towards a European strategy for the security of energy supply” was issued at a time when the cost of energy was low and was not seen as a cause for concern.

 

And yet, as the Commission’s analysis clearly shows, in Europe, we are facing forecasts of an energy dependency level of 70 % in 2030, compared with 50 % today. And that will come at a price, particularly as our sources of fossil fuels slowly dry up. And in view of the additional constraints caused by climate change, the issue of energy supply urgently needs to be considered.

 

It is therefore evident that (a) the issue of the energy security is of paramount importance for the well-being and the stability of our societies and (b) given the obligations the European countries have assumed, both in the regional and in the international level, the European countries will have to bear a very substantial part of this price to address the concerns of their public opinion for a cleaner environment, for the promotion of soft and alternative sources of energy etc.

 

A European policy is therefore overdue. And we believe that the “Green Paper” of the European Commission is a very strong basis for such a policy.

 

Based on the recommendations of the Commission’s “Green Paper”, I think that it is not by coincidence that more and more European countries reduce their exposure to oil and proceed to other forms of energy (coal, natural gas, hydro-power) and then again they are trying to diversify their supplies. Greece, too, is envisaging to doing the same in the near future, while at the same time we are promoting other sources of energy, soft and alternative sources of it.

 

  1. Your government has made a great effort to reach and remain below the deficit limit of 3% of GDP for this year. On the other hand, these past years other countries, such as Italy, Germany or France have not demonstrated the same dedication to address issues regarding their public finances. Do you see a difference in the way the EU treats the ‘small’ and the ‘big’ states?

 

I firmly believe that the European Commission acts responsibly in every occasion and treats Member Countries equally. Reducing budget deficits is essential in order to secure long term growth and the stability of public finances. I am fully aware that every country makes considerable efforts to contain budget deficits within the 3% ceiling. Sometimes, however, the prevailing economic conditions may hinder these efforts.

 

For us in Europe this is the best way to reduce dependencies and produce a cleaner environment, both from the ecological and from the political point of view.

 

  1. Is the grave derailment of the Greek public finances in 2004 linked to the Olympic Games or are there deeper reasons for that?

 

Certainly, funding an event of such colossal proportions puts strain on public finances. Yet, behind this there were indeed some deeper reasons. This administration works hard in order to put the economy back on track. So far, the results stand up to our expectations. Despite the fiscal consolidation underway, the rate of growth for the 1st quarter of this year stood at 4 per cent, one of the highest in the Eurozone. In less than two years, unemployment was reduced by 1.5 percentage points. Exports have been rising at an impressive rate and our country’s competitiveness according to the IMD is improving at a fast pace.

 

  1. Will the Greek statistical data on public debt be reliable from now on?

As the European Commission has recently acknowledged, over the last two years most issues concerning the reliability of our statistics have been settled. We are determined to improve our economy and make the most of our comparative advantages and our key geopolitical position. We are working hard to deliver on our promises. I can assure you that thanks to the reforms we have been introducing a totally new environment is emerging for the Greek economy.

 

  1. La Grèce célèbre le 25 mai, le 25ème anniversaire de son entrée dans l’Union européenne. Quel bilan tirez-vous de ce quart de siècle ? Quels bénéfices votre pays a-t-il retiré de cette adhésion ?

 

Our assessment on the occasion of Greece’s 25th anniversary of accession to the European Union is by all means positive.  We acknowledge today that the EU is the basis upon which the security, economic development and overall progress of our country are achieved and promoted. Together with the consolidation of democracy, these were the targets which were set as the basis of the initiative to apply for membership. The vision of the then Prime Minister K. Karamanlis and all those who worked with faith and devotion to realize this target, became reality on January 1st, 1981.

We cannot disregard the essential contribution of the European Community and now  of the European Union to Greece’s overall development in the 25 years that have elapsed :

 

  • Consolidation of democracy is irrevocable and the institutions are functioning smoothly and without problems.
  • Greece has promoted its peace and security together with its partners and we share  the burden and the tasks of Europe΄s contribution to  security in our continent and beyond.
  • Last but not least, Greece has benefited as well with regard to its economic development and overall progress. Our country together with all the countries of the European South have been beneficiaries of substantial economic assistance. This assistance, together with our national resources and the efforts of the Greek People, has placed Greece in the upper echelons of the list of developed countries worldwide.

 

All the above have had as a result that in Greece we are the amongst the most ardent Europeans. Proof of this is the ratification of the Constitutional Treaty. Moreover, we constantly rate very high on the public opinion surveys regarding positive opinion about Europe. This, I believe, is the most valuable recognition and acknowledgement of Greece’ s benefits from its accession to the EU, but also the respect it has gathered from all its neighbors, who aspire to become members of our Union as well.

 

  1. La Grèce va-t-elle recevoir moins de fonds structurels de l’Union entre 2007 et 2013 ? Comment se fait-il que votre pays ait encore besoin des ces aides 25 ans après son entrée dans l’Union ?

 

All the member states of the Union, old members and the ones who joint recently, participate in and derive benefits from the common policies according to their specific needs and within the aim of attaining the objectives of the Union, among which cohesion and convergence.

The share of Greece from community funds for the period 2007-2013 and particularly those destined for economic and social cohesion is deemed more than satisfactory.

 

  1. L’Union va accueillir la Roumanie et la Bulgarie. Les autres pays des Balkans sont candidats à l’adhésion, ainsi que la Turquie. L’Union ne s’élargit-elle pas trop vite ? Quand pensez-vous que les pays des Balkans devraient entrer dans l’Union ? Que retirera la Grèce de ces élargissements ?

 

Greece believes that, as stated in the founding Treaty of our Union, the latter should be prepared to admit any European State, which respects its fundamental principles. As regards the countries of South Eastern Europe in particular, they undoubtedly constitute a part of Europe both geographically and culturally. As a consequence, we believe that the European project cannot be complete unless the countries of our region join the EU.

Our position of principle is that commitments must be respected as both sides. We have undertaken such commitments towards Bulgaria and Romania regarding their accession, in principle on 1st January 2007. Besides, we are currently negotiating with two more countries. The time of eventual accession depends primarily on the countries themselves. By then, we hope that the EU will have completed its part and will be ready to welcome them.

Of course, that is not to say that the EU or the governments of individual member-states may ignore the changing attitudes of the public opinion towards enlargement. In our view, it means above all that the countries of the region will have to provide proof of their European commitment in an unfavourable climate. We believe that they should see this as a challenge and intensify their efforts to convince those reluctant to welcome them in the European family that they deserve their place in it. We see “conditionality” and “implementation” as the keywords in this process.

My country has a strategic vision of the future of our region which could be summarized in the formula: ‘South-Eastern Europe, a European neighborhood’. Therefore, it is obvious that our support of the enlargement process bears a dimension which goes far beyond the limits of our strict political and economic interests which are also considerable. Greece firmly supports the progressive transformation of its immediate region into a peaceful, stable and prosperous one. The accession of all the countries of the region to the EU constitutes in our view, a very effective means to this end.

We hope that, during the process of gradual rapprochement with the European institutions, the countries of the region will adopt both EU standards in all sectors of economic and social activity and a more modern mode of international conduct. This means primarily dealing with problems with a constructive spirit, in order to reach mutually acceptable solutions, so as to bolster regional cooperation and good-neighbourly relations.

 

  1. 9. Votre gouvernement soutient l’entrée de la Turquie dans l’Union, bien qu’une majorité de Grecs y soit opposée. Pourquoi ?

 

It is true that we support the accession of Turkey provided, of course, that the Turkey fulfill all the criteria and requirements set by the EU, with no exception. This is a strategic policy option stemming from our conviction that a Turkey with stable and democratic institutions member of EU would be a credible neighbour and would contribute to the consolidation of peace, security and prosperity in our region. Obviously, in order to become a member Turkey must renounce all its illegal claims against Greece. We are also looking forward to the increase of the volume of our bilateral trade exchanges, following the EU accession of our neighbour.

 

  1. Il y a un an, la France et les Pays Bas disaient ” non ” à la constitution européenne que le parlement grec a ratifié à une forte majorité. Faut-il, selon vous, abandonner le traité ? Comment adapter les institutions européennes aux réalités de l’Elargissement ?

 

 

I mentioned above that Greece ratified the Constitutional Treaty. We were among the first to do so with an overwhelming majority in our Parliament. We  still consider the Constitutional Treaty as the common solid basis for our European future. Naturally, we take seriously into account the results of the referenda in France and The Netherlands. At the same time, however, it is an indisputable fact that the Treaty has already been ratified by the majority of the member states which represents also the majority of the European population. Just recently Estonia ratified the Treaty  on May 9th, Europe’s Day. And Finland is well in the process of ratification. All these facts strengthen our conviction that the ratification process should continue, as a key priority for the next period. The reflection period we initiated last year and the various contributions on ways and means ahead will help us in this respect, and in regards to the overall discussion on the Future of Europe. The deliberations we are going to have and the decisions to be taken by the European Council in June are in that direction. But first and foremost we must face the challenges and answer the concerns of the European citizens, finding ways for action and solutions. This is going to make citizens regain trust in the EU and reconnect them with the European Ideal, making solutions to the institutional issues easier and more acceptable.