JOURNALIST: Was everything that was signed during Xi Jinping’s visit just an appetizer, a small sample of things to come?
K. FRAGOGIANNIS: There is a serious effort under way that was launched the day after the Kyriakos Mitsotakis government was sworn in. And this effort concerns the creation of a positive investment climate in the country. This change is already apparent in the interest-rate indices. The negative quarterly interest on bonds and the collapse to historical lows of interest rates on ten-year bonds answer your question: a small sample of things to come. Our job at the Ministry of Foreign Affairs, in Economic Diplomacy, is to create the framework that will bring results and enhance the comparative advantage of the current investment-friendly environment created by the new government. The prime minister’s visit to Shanghai was a successful test. The same is true of the Chinese president’s visit to Athens a few days later.
JOURNALIST: In both Shanghai and Athens, we saw another mindset from the government as compared to the past, with the prime minister functioning as a representative for Greek business. What does this show?
K. FRAGOGIANNIS: The prime minister’s visit to Shanghai, to China’s biggest export fair, had a different strategy from such visits in the past. The key objective was to back the entrepreneurs who chose to accept the invitation to participate in the trip and come to Shanghai at their own expense. The Ministry of Foreign Affairs planned the trip in collaboration with the prime minister’s office. The Secretariat General for International Economic Relations coordinated the event. Enterprise Greece put together the business forum and the B2B meetings, the Embassy in Beijing planned Kyriakos Mitsotakis itinerary, and the Consulate General in Shanghai hired a private company to secure targeted meetings for the entrepreneurs.
So we prepared a roadshow for Greek enterprises in China, and the prime minister played the role of comparative advantage in seeking collaborations. The results were impressive: 315 meetings between 62 Greek enterprises and 132 Chinese enterprises. I think this is the first time a Greek prime minister has embraced the private sector and represented it with such symbolism, attesting to the government’s comprehensive strategy for openness.
JOURNALIST: Mr. Mitsotakis will be in China again in April, in the context of his participation in the 17+1 Initiative. What should we expect from this systematic deepening of Greek-Chinese cooperation?
K. FRAGOGIANNIS: A month ago, the Ministry of Foreign Affairs hosted an official meeting with China’s representative for the 17+1 Initiative, in which Greece’s participation was characterized by the representative herself as the greatest achievement of this collaboration. The initiative includes 12 EU member states, which represent an area encompassing three seas: the Baltic, the Adriatic and the Black Sea. We are pursuing a vital role in this initiative and we are certain that Greece will create added value for all of the participating countries. Our country has a prominent role in the wider region and is a longstanding pillar of stability. By April we will have prepared specific proposals regarding the areas of interest in which we will become more active. Sectors such as culture and tourism, connectivity, transport and supply chains, and environmental technology are of particular interest to us.
JOURNALIST: In his speech in Shanghai, Kyriakos Mitsotakis said that Greek shipowners have invested over €50 billion in China, obviously bringing attention to the huge deficit for Greece in the balance of trade between the two countries. In essence, it was a message to the other side that we have to start to close this gap, right?
K. FRAGOGIANNIS: For Greece, shipping was a historical, social and practical reality that led to the most decisive moments in its history. It is an honour for Greece that this private capital has been invested by Greek shipowners in an emerging economy like China’s. And this was an honest statement from the prime minister, who is asking for reciprocity in terms of Chinese investments in our country, whether they concern large investments or the balance of trade, which presumes a Chinese import environment that is friendly to Greek exports. The Greek state has to do its best to boost the private economy and entrepreneurship. It is the best moment in the country’s history. And it is symbolically very important that the prime minister is promoting this with his personal political capital in international relations.
November 15, 2019