Greece Among Top 3 Big Spenders of the Eurozone


Greece’s state expenditure is 55 percent of the country’s GDP, one of the biggest spenders of the Eurozone despite austerity. The only other two countries with higher government expenditure are France and Finland. The revelation is based on a memorandum that the European Commission submitted to the Eurogroup on September 9. The report was submitted to the Eurogroup following the request of finance ministers for a discussion regarding the improvements and viability of state finances.

The top spenders of the Eurozone were Finland followed by France and Greece. Belgium, Austria and Italy were the other three countries to make up the top six public spenders.

The countries with the lowest government spending are Ireland and Lithuania, these two countries are a notch below Latvia, Esthonia and Cyprus.

The European Commission has begun to evaluate the economies of the EU19 in order to better create government policies and develop fiscal measures as the current rules are not seen as friendly towards development. Greece’s spending is a matter of concern bearing in mind that expenditure increased by 1.5 percent at a time when revenue decreased.

The main opposition New Democracy party points to state waste of public funds. The conservative parties co-ordinator at the 81st Thessaloniki International Trade Fair (TIF) counted more than 30 state bodies and organizations with their own kiosk at the fair at a time when there should be cutbacks.