Description
Greek and International Economy | issue 15
The Greek economy without stereotypes: productive model and tourism
This study by INSETE (Issue 15, February 2026) seeks to systematically challenge the dominant stereotypes that accompany analyses of the Greek economy. Its central objective is to provide a documented critique of the “café economy” narrative, which argues that the country is trapped in an outdated production model characterized by low value added and low productivity, relying almost exclusively on tourism.
Drawing on official macroeconomic data for the period 2010–2025, the study documents the transition to a New Production Model (NPM), characterized by a significant increase in exports of goods—growing at rates higher than those of tourism and even exceeding those of Italy and the Eurozone—as well as by the simultaneous strengthening of the manufacturing sector and internationally competitive agriculture and livestock production.
At the same time, the study analyzes the dynamics of the tourism sector which, rather than operating at the expense of other sectors, acts as a catalyst for employment and investment by leveraging the country’s comparative advantages. Finally, the study clarifies that the deficit in the trade balance is not an indication of structural weakness but rather reflects, in accounting terms, the increasing surpluses in the services balance and capital inflows.