Economy of Crete
Overview
Greece has a capitalist economy with the public sector accounting for about 40% of GDP and with per capita GDP at least 75% 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. 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. 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
Real Growth Rate
4%
Per Capita
USD 30,500
From Agriculture
3%
From Industry
21%
From Services
76%
Labour Force
Available for Work
5
Working in Agriculture
12%
Working in Industry
20%
Working in Services
68%
Unemployment Rate
8%
Population Below Poverty Line
0%
Inflation Rate
3%
Investment as Percent of GDP
27%
Budget
Revenues
USD 111,900 (m)
Expenditures
USD 120,700 (m)
Public Debt
US$ 0.00 (m)
Agricultural Products
Wheat, corn, barley, sugar beets, olives, tomatoes, wine, tobacco, potatoes; beef, dairy products
Core Industries
Tourism, food and tobacco processing, textiles, chemicals, metal products; mining, petroleum
Exports
Value
USD 25,760 (m)
Commodities
Food and beverages, manufactured goods, petroleum products, chemicals, textiles
Partners
Germany 11.5%, Italy 11.5%, Bulgaria 6.5%, UK 6.1%, Cyprus 5.5%, Turkey 5.2%, France 4.5%, US 4.5%, Spain 4.1% (2006)
Imports
Value
USD 79,920 (m)
Commodities
Machinery, transport equipment, fuels, chemicals
Partners
Germany 12.6%, Italy 11.5%, Russia 7.1%, France 6%, Netherlands 5.2%, South Korea 4.2% (2006)
External Debt
USD 371,500 (m)
Fiscal Year
Calendar Year