The ancient Greek pillars are still taller, but the economy needs a new foundation. Credit: Nonbirinonko on Pixabay via Canva.com
Greece’s economy is growing, tourists are pouring in, the crisis is delayed decades, and Athens is suddenly filled with rooftop bars and renovated harbors. However, in addition to recovery, questions continue to surface. What does Greece actually produce? However, this is: We cannot build a domestic economy that thrives only on flaps and flights.
Tourism is seasonal, shipping is global and unstable, and the country’s position in the global value chain is closer to world trade than circuit board design. Greece has low economic complexity. This is a measure of the refinement and diversity of the country’s exports. So you need to understand why Greece should resort to something that is easy to sell and stop investing in something that is difficult to build. Complexity in 2025 is a survival tactic, ranging from green manufacturing and deep technology to the real innovation ecosystem.
Economic complexity
Economic complexity is not just technical terms. This is a measure of how a country contributes to the global table, not from a volume perspective, but in that there are few things that can be produced or relatively similar.
In contrast, Greece is highly dependent on sectors with low margins, including vulnerable.
- sightseeing
- raw materials
- Food exports
- Maritime Services
They are relatively important, but their impact is limited in terms of stretching value. According to the latest Harvard Growth Lab data, Greece is far below the EU average and complexity rankings, not just behind France and Germany. Portugal, Slovenia, Estonia.
This context is important because it not only increases GDP, but also improves wages, buffers the economy during recessions, and attracts long-term investment. Furthermore, the next crisis will not wipe out the sector overnight, as it will help build capacity. Without that foundation, the economy may seem stable for a while until the wind takes it in a completely different direction.
How Greece compares to other Europe
According to Harvard Growth Lab’s 2023 Economic Complexity Index, Greece ranked 50th in the world, placing behind Portugal (No. 43), Slovenia (No. 12), such countries. Poland (24th) – Over the past 20 years, everything has appeared in more specialized and valuable industries. ”
- Slovenia We have leveraged EU membership to expand our advanced manufacturing.
- Estonia We adopted a digital-first approach to governance and services.
- Ireland They invited global high-tech companies to reduce corporate taxes to 12.5%, and built a legal framework based on the basics of IP operations simply.
- Ireland is currently ranked Top 20 worldwide– Pivots from farmland to pharmaceuticals. ”
Greece has new high value possibilities export I own the ingredients I need. The question is whether to use them before the recovery boom goes away.
Greece has signs of change. The 31 billion euro Greece 2.0 recovery plan includes funding for both green and digital infrastructure, vocational training and the industrial zone. This issue is not a lack of funds, but a lack of cohesion. Without policies that strengthen each other, innovation will be silent and investment in infrastructure cannot cause real change. Complexity does not flourish in fragmented systems. You need a connected ecosystem. ”
What holds down Greece?
Bureaucracy is one of the most established obstacles in the country. The Greek legal framework includes many gray areas, and enforcement varies widely from region to region.
Shadow Economy explains Approximately 21.5% to 30% Eurobank and academic research estimates show GDP in Greece. This includes undeclared services, VAT avoidance, and wages below the table. This will leak finances and block long-term business plans. ”
It’s also difficult to find innovation when half of the system falls out of the book. Irony? Most of these issues are correctable, but they require follow-throughs as well as funding the announcement. No complexity emerges from a one-off effort. It comes from making it easier for you to be serious.
Tourism may sell Greece to the world, but complexity allows it to compete. The real export is not the sun or scenery, but the ability. And that’s what turns recovery into resilience
