Greece Must Spend Wisely

Greece, which is struggling with crippling debt and economic implosion, needs to make better use of existing European Union funds while it waits for the effects of money granted in a recent international bailout to kick in, European Commission President Jose Manuel Barroso said Wednesday.

Speaking after a meeting with Greek Prime Minister Lucas Papademos, Barroso said structural and regional funds could be used to create jobs and stimulate economic growth in the short term.

“It is mainly about using effectively and swiftly what we have,” Barroso said at a news conference after his meeting with Papademos, explaining that Athens will be under stronger surveillance to ensure that money is managed better.

In addition to struggling with economic contraction, violent protests and sky high unemployment, Greece also faces rising mistrust from some of its partners because of a history of inefficient use of EU funds and because of its failure to meet promptly some of the strict international demands for austerity. Experts say Papademos’s presence has been a crucial part of calming those fears.

Barroso and Papademos, who also discussed implementation details related to a recently approved second bailout of debt-stricken Greece, agreed to set up a fund to support small and medium-sized businesses. They also discussed ways to finance infrastructure and renewable energy projects. The money for these initiatives would come from existing EU funds separate from money included in international bailouts of Greece.

Marketwatch

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Dean Popplewell

Dean Popplewell

Vice-President of Market Analysis at MarketPulse
Dean Popplewell has nearly two decades of experience trading currencies and fixed income instruments. He has a deep understanding of market fundamentals and the impact of global events on capital markets. He is respected among professional traders for his skilled analysis and career history as global head of trading for firms such as Scotia Capital and BMO Nesbitt Burns. Since joining OANDA in 2006, Dean has played an instrumental role in driving awareness of the forex market as an emerging asset class for retail investors, as well as providing expert counsel to a number of internal teams on how to best serve clients and industry stakeholders.
Dean Popplewell