Table of Contents
- 1 Never say never…
- 2 The look on Friday
- 3 Heavy schedule
- 4 The visit to Naxos is symbolic
- 5 Others are closer
- 6 The clouds are here…
- 7 The bankers know it
- 8 Not that there isn’t interest
- 9 New designs Stassis
- 10 Pressing on Development
- 11 The tin below…
- 12 Has he left Europe?
- 13 **How might the divergent economic paths of Greece, with its anticipated faster interest rate cuts, and the ECB potentially impact Greek businesses’ competitiveness within the Eurozone?**
The Prime Minister’s presence at Bloomberg could not have come at a better time.
It gave the message to the international investment community that there is no question of political risk.
And to be fair, he knows what foreigners want to hear about a country and he said it.
Never say never…
Of course, the market, that is, the stock market, did not change course, because after all, in Europe, you should never say never!
We saw them in France in the summer, we also saw them in Germany in the last few weeks.
In other words, until there is a real test for the governing majority, it is likely to test the lows of October.
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The look on Friday
The first test will be with the budget, but the big test, the one that actually “gels” the foreigners, is on Friday.
On November 22, Fitch announces its assessment of the Greek debt.
It currently rates Greece at BBB- and a stable outlook, but it will be interesting to see if it adds the political catalyst to its analysis.
Because the rest are more or less known, i.e. growth, debt, fiscal performance, inflation, etc.
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Heavy schedule
However, behind these two tests, I have to notice something else, which I will bring to your attention right away. And draw your own conclusions…
I am reading the prime minister’s program and especially this week it is particularly heavy. And in a neutral election time!
Yesterday he was at an event on artificial intelligence, on Wednesday he has the budget, on Thursday the AADE event in… Zappeion.
I will not stop at Zappeion, since I will have more for you in the coming days.
But before the event in Zappeion, where he will support the presentations of Minister Kostis Hatzidakis and the head of AADE, Giorgos Pitsilis, on Thursday morning, that is, he will be in Naxos.
The visit to Naxos is symbolic
In Naxos, therefore, the prime minister will go to sign the contract for the creation of the Decarbonization Fund.
The signing was originally scheduled for May 27, but was postponed.
But it takes on greater importance as the fund will finance inter-island, energy storage and renewable energy projects.
Against the flow of “drill, baby drill” that Trump is bringing to the USA, I see the Prime Minister.
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Others are closer
However, IOBE is moving closer to the Trump current. Especially with the event for the contribution of the sport of golf in Greece (25/11).
Of course, in Greece we could not talk about organized efforts. Until a few years ago we only had the Glyfada facilities, but now we also have Costa Navarino and Crete.
It’s touristy, a little, but if you ask my opinion I prefer the “big wallets” of the golfers, who will go out or arrive from the country’s marinas, rather than the “big wallets” (and small ones) that are closed in multi-day marathons in the Casinos of the world.
For the record let me tell you that the value of golf tourism internationally in 2023 was at 23.3 billion. dollars, with only 3.3 billion dollar in Europe.
The new president of IOBE, an excellent connoisseur of the international tourist landscape, obviously sees something.
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The clouds are here…
But to return to the market, the weakness of the banking sector is now evident on the board. The barrage of foreign reports (most recently Morgan Stanley) on interest income came and I remembered what I wrote to you on October 7 (see here).
There is already concern about the interest income of Greek banks, after the two interest rate cuts. And they may manage them by increasing allocations, but the margins are narrowing.
Because everyone now sees interest rate cuts faster than the ECB.
The bankers know it
It is certainly something that bankers know. That is why they rush at every opportunity to talk about credit expansion.
After all, they said so yesterday at a Bloomberg event, with the CEOs of the four systemic groups (Alpha Bank: Vassilis Psaltis, Eurobank: Fokion Karavias,
National: Pavlos Mylonas, Piraeus: Christos Megalou) appear optimistic about the production of new loans in the new environment of cheaper money that is coming.
Not that there isn’t interest
There people in the market attribute the laziness (to say it universally so as not to be “cut off”) of the last few weeks, which has intensified since the election of Trump.
Not that there is no interest from funds in Greek securities.
As for example in PPC, where as we know there are at least five large positions from powerful funds in the Company.
The last example is the Kopelouzo family…
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New designs Stassis
And since I mentioned PPC, an analyst friend of mine was telling me yesterday about a report by the president and CEO Giorgos Stassis during the presentation of the three-year strategic plan to the analysts, which went down the drain…
The head of PPC spoke about the possibility of investing in a natural gas power plant in Romania.
However, he did not rule out the possibility if he is given the opportunity to do so in Bulgaria…
I learn that the PPC management has something on their radar…
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Pressing on Development
Let me spend a little time, however, at the Ministry of Development.
Minister Takis Theodorikakos has personally taken the case of the new production model of the economy. And the truth is, as well as in the narrow fiscal frameworks, he is struggling.
I am learning, however, that the pressure on the leadership of the ministry from the Businessmen, that is, the Union, E.EN.E., is great.
They have formulated very specific proposals to improve the entrepreneurship framework and are determined to see them implemented.
That is why Theodorikakos has been invited to a closed event of the Union.
President Christian Hatziminas is persistent…
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The tin below…
I see a lot of reshuffles coming in the electricity provider space. Especially with the ceiling mechanism on wholesale prices.
As, admittedly, a serious market problem is postponed for later resolution.
Because it puts the numerous small businesses in the industry in a difficult position, many of which are facing serious difficulties.
In essence, the “fate” is being shifted, that there will be only 5-6 players left in the energy market.
I remind you that this can be done by new acquisitions, or by… collapse of a company.
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Has he left Europe?
Lately, I’ve been seeing former MEP Eva Kaili walking around the Athenian streets a lot.
Its appearances have increased in Athens, especially between Psychikos and Kolonaki.
Back to the roots… or is she trying to regain her footing?
I will hear from you soon…
#Bloombergs #timing #Athens #heavy #schedule #prime #minister #message #bankers #construction #PPC #Stassi #plans #Hatziminas #press #Economic #Post
**How might the divergent economic paths of Greece, with its anticipated faster interest rate cuts, and the ECB potentially impact Greek businesses’ competitiveness within the Eurozone?**
This article covers a lot of ground! Here’s a thematic breakdown with open-ended questions to encourage discussion:
**1. Banking Sector & Interest Rates**
* **What are the implications of anticipated faster interest rate cuts than the ECB for Greek banks?** (Consider both positive and negative aspects for the banks, and the broader economy.)
* **How sustainable are bank strategies focused on credit expansion in a low interest rate environment?** (Discuss potential risks and challenges.)
* **What impact might the predicted slowdown in interest income have on banks’ profitability and lending practices?**
**2. Investment Landscape and Market Sentiment**
* **Why might there be a perception of “laziness” in the Greek market despite interest from funds in certain companies like PPC?** (Explore potential factors influencing investor decisions beyond just economic data.)
* **How might the reliance on large fund investments impact the long-term stability and diversity of the Greek market?**
**3. PPC’s Strategic Plan and Future Investments**
* **What are the advantages and disadvantages of PPC potentially investing in gas power plants in Romania or Bulgaria?** (Consider geopolitical factors, energy security, and alignment with sustainability goals.)
* **How might PPC’s expansion strategy impact competition in the energy sector and ultimately affect consumers?**
**4. Government Priorities and Business Environment**
* **What are the key challenges facing the Greek government in creating a favorable environment for business growth?** (Consider specific policy areas and potential roadblocks.)
* **Are the proposals from business groups like the Union of Hellenic Chambers of Commerce and Industry (E.EN.E.) realistic and implementable?**
* **How might the increasing pressure for consolidation in the energy sector affect the availability and affordability of electricity in Greece?**
**5. Political Landscape**
* **What are the potential implications of Eva Kaili’s increased visibility in Athens?** (Consider potential political comebacks or increased influence.)
**General Discussion Points**
* **How does this article reflect the current economic and political climate in Greece?**
* **What are the most pressing issues facing Greece today, and how are they being addressed by the government, businesses, and individuals?**
These questions are designed to spark thoughtful conversation and explore diverse perspectives on the issues presented in the article.
