Three Global Signals Mark Greece’s Full Economic Comeback

 Last week, Greece received resounding signals from international markets and European institutions, affirming the country’s robust economic recovery after a decade of crises. With growth rates nearly double the European average and rapid debt reduction, Greece is attracting renewed interest from foreign investors, enhancing its position in European policymaking, and earning accolades from global markets and institutions.

This new landscape was highlighted across three interconnected arenas:

1. London: Strong investor interest in Greek banks at the Morgan Stanley & Athens Exchange conference
2. Brussels: The nomination of Greek Economy Minister Kyriakos Pierrakakis as a candidate for the Eurogroup presidency
3. Luxembourg: The European Stability Mechanism’s green light for early repayment of €5.29 billion of bailout loans

Investor Confidence Surges in London

At the Morgan Stanley conference in London, long-term institutional investors showed unprecedented interest in Greek banks. Many of these funds had previously avoided Greek assets entirely.“The focus was on forecasts for core banking metrics, which are seen as particularly positive, alongside broader economic growth projections,” sources close to the talks said.

The Euronext acquisition of the Athens Exchange (EXAE) was cited as a critical factor in catalyzing renewed investor confidence. Dozens of meetings were held between bank executives and global investors, underscoring Greece’s rising credibility in international financial markets.

European Recognition: Pierrakakis for Eurogroup Presidency

Never before has a Greek finance minister sought the Eurogroup presidency, breaking a long-standing tradition. Pierrakakis now competes with Vincent Van Peteghem, Belgian Deputy Prime Minister and Budget Minister.

International media highlighted Pierrakakis’s reformist profile, emphasizing digitalization, public sector modernization, and openness to innovation and investment. Analysts across Europe and the UK view his candidacy as a reflection of Greece’s economic resurgence, characterized by fiscal balance and rapid debt reduction.

The election for the Eurogroup presidency is scheduled for Thursday, December 11, setting the stage for Greece to assert a stronger voice in European economic governance.

Debt Reduction: From Crisis to Sustainability

Greece’s public debt is projected to decline from 154.2% of GDP in 2024 to 145.9% this year, with further reductions to 138.2% in 2026, 131.7% in 2027, 124.6% in 2028, and 119% by 2029.“The accelerated decline in public debt is fueled by strong economic growth and prepayments made possible by high primary surpluses in recent years,” said officials at the Ministry of Economy.

The ESM’s approval last week for early repayment of the GFL loan, part of Greece’s 2010 bailout, signals continued confidence in the country’s fiscal management. Of the €52.9 billion originally provided by 14 eurozone countries, €31.6 billion remains outstanding. Greece has already completed all IMF repayments by 2022, underscoring its return to financial credibility.

A Renewed Narrative for Greece

The combination of foreign investor interest, high-profile European nominations, and proactive debt managementpositions Greece as a resilient and ascending economy in the Eurozone. Analysts emphasize that this trajectory is not merely recovery, but a strategic economic repositioning that signals to international markets and institutions that Greece is ready to take on more influence, responsibility, and investment opportunities.

As one European analyst noted:“Greece’s recent moves are a clear message: the country has emerged from crisis with credibility, momentum, and vision. The global community is taking notice.”

Source: pagenews.gr