The evolution of the Greek economy, which aspires to function as a useful tool for the business community, is summarized in the annual report published today by the Small Business Institute of the GSEVEE.
Based on the words of the President of the Small Business Institute of the General Confederation of Greek Professional Crafts Merchants (GSEVEE) in “N”, Giorgos Kavvathas, “the annual report of the Small Business Institute of GSEVEE is published today, in a special economic situation.
Its characteristics are possibilities, on the one hand, and unprecedented obstacles, on the other. The potential is highlighted by the optimistic forecasts for tourism growth and the GDP growth outlook for this year and the next two years. The obstacles are revealed by the worsening liquidity problem, the increase in unpaid debts to the tax authorities and insurance funds, the exclusion of micro and small enterprises from the Recovery and Resilience Fund, etc.
In this context that forms a nebulous scenario, the annual report comes to work for the management of the GSEVEE, for its hundreds of executives throughout Greece, but also for the small and medium-sized companies themselves that struggle to formulate a strategy, like the instruments they use captains in shipping and aviation: to show us the contours of the broader macroeconomic environment and the narrower microeconomic environment, so that we have as precise a knowledge as possible of the developments that concern us.
By publishing the annual report, we also help inform policy makers about issues concerning small and medium-sized enterprises. We are doing our duty…”
Macroeconomics
Specifically, the pages of the Annual Report, whose communication sponsor is “N”, briefly present macroeconomic developments. Specifically, in 2023, GDP increased at constant prices by 2%, exceeding the 2019 level, but turnover decreased by 3%. Private consumption continues its dynamic recovery, with household consumption increasing by 1.78%.
And public administration consumption expenditure increased by 1.75%. In the six sectors where small and medium-sized businesses are concentrated, turnover in 2023 remained practically stable compared to the previous year. However, new business registrations in 2023 increased by 6%.
Competition
This year’s EMI GSEVEE annual report pays special attention to competition in the Greek economy. By examining the share of the 5 largest companies in each sector, it is clear that there is a deep division in the Greek economy. In large-scale industry, monopolies or monopolistic tendencies dominate, while in sectors dominated by small and medium-sized enterprises, e.g. food and beverages, conditions of free competition prevail. The lack of competition is also reflected in the Eurobarometer survey.
Climate research
The Climate Survey of IME GSEVEE is also published in the Annual Report. The economic climate index for small and very small enterprises fell by almost six points over the course of a year. The Climate Research data reveal a high correlation between company size and turnover. The conclusion is that the resources of the economy are increasingly concentrated in fewer and fewer individuals or legal entities. Companies in Attica and the Aegean Islands are also in a privileged position. (SID:21