Changes

==Economy==

==Economy==

Greece adopted the euro as its new common currency in January 2002. The adoption of the euro provided Greece (formerly a high inflation risk country under the drachma) with access to competitive loan rates and also to low rates of the Eurobond market. This led to a dramatic increase in consumer spending which gave a significant boost to economic growth. This credit also led to a more relaxed fiscal policy starting in 2002, which, combined with expenditures associated with the preparation of the Athens 2004 Olympics, resulted in higher than intended deficits and debt in 2003 and 2004. The government deficit in 2004 is now estimated by the Greek government to have reached 6.6% of GDP. As a result of lower post-Olympic spending, the government deficit in 2005 is estimated to have been lowered to 4.3% of GDP, with a debt to GDP ratio of 107.9%. The administration pledged to reduce the government debt to 2.6% of GDP in 2006 and to tighten fiscal finances, under an EC excessive deficit surveillance program.  

Greece adopted the euro as its new common currency in January 2002. The adoption of the euro provided Greece (formerly a high [[inflation]] risk country under the drachma) with access to competitive loan rates and also to low rates of the Eurobond market. This led to a dramatic increase in consumer spending which gave a significant boost to economic growth. This credit also led to a more relaxed fiscal policy starting in 2002, which, combined with expenditures associated with the preparation of the Athens 2004 Olympics, resulted in higher than intended deficits and debt in 2003 and 2004. The government deficit in 2004 is now estimated by the Greek government to have reached 6.6% of GDP. As a result of lower post-Olympic spending, the government deficit in 2005 is estimated to have been lowered to 4.3% of GDP, with a debt to GDP ratio of 107.9%. The administration pledged to reduce the government debt to 2.6% of GDP in 2006 and to tighten fiscal finances, under an EC excessive deficit surveillance program.  

The Greek economy is estimated to have grown by 3.6% in 2005 and similar growth rates are projected through 2007. These growth rates resulted in a drop in unemployment (to 7.3% in the second quarter of 2007 from 10.4% in the same period in 2004). Foreign direct investment inflow has also dropped, and efforts to revive it have been only partially successful. At the same time, Greek investment in Southeast Europe has increased, leading to a net FDI outflow in some years.  

The Greek economy is estimated to have grown by 3.6% in 2005 and similar growth rates are projected through 2007. These growth rates resulted in a drop in unemployment (to 7.3% in the second quarter of 2007 from 10.4% in the same period in 2004). Foreign direct investment inflow has also dropped, and efforts to revive it have been only partially successful. At the same time, Greek investment in Southeast Europe has increased, leading to a net FDI outflow in some years.