'Big potential' in Sino-Greek economic ties

Businessmen from Greece place an order for rhinestones in Yiwu, Zhejiang province. China and Greece have agreed to double the size of trade by 2015. [Photo / China Daily]

Debt-strapped nation to attract more Chinese investors, tourists

China will probably top the list of foreign investors in Greece in two to three years while the expected launch of direct flights between Beijing and Athens will boost Chinese tourism to the European country, said Vassilios Costis, the Greek ambassador to China.

The two countries have agreed to double the size of trade by 2015 as the European Union member nation is gradually getting out of its debt crisis, the ambassador told China Daily.

"The economic ties between the two countries have great prospects. They're not yet at the point we wished them to be, but we'll work on it," said Costis. "For example, the size of bilateral trade stood at about $4 billion last year and we hope to achieve an ambitious target of $8 billion in 2015, supported by the political will and business entrepreneurship between the two countries.

"In general, we'll try to elevate our economic and commerce relations, which are lagging behind the political ties a little bit," he added.

The two countries established a comprehensive strategic partnership in 2006, and Greek Prime Minister Antonis Samaras visited China in May to win economic support from Beijing, boost bilateral trade and attract Chinese investment into the country.

After experiencing the effects of a severe debt crisis in the last four years, Greece will likely see the end of the crisis this year, and its citizens are optimistic that the country will see limited growth in 2014, said the ambassador.

"Greece is attracting Chinese investment. The most promising sectors are airports, ports, infrastructure and the banking system. Greece's privatization program is very attractive for Chinese capital and also for other investors," he said.

Costis added that Chinese investment in Greece increased at a rapid pace in the last four years, and that he's confident that in the next two or three years, there will be a very important increase because of the improving Greek economy, the privatization program, good infrastructure, the country's high education levels, as well as its geographic position as a gateway to southern Europe and to the EU.

"China is not the biggest investor yet, but it's among the top five. I think that Chinese investment can top the list in the next two or three years," he added.

For instance, the investment of global shipping giant China Ocean Shipping Group Co in the Greek port of Piraeus has been "very successful", said the ambassador.

Also, in late October, Chinese pharmaceutical conglomerate Fosun Pharmaceutical Group Co and Greek-Swiss pharmaceutical and clinical research group Sellas Clinicals Holding AG signed an agreement worth more than $500 million for the development and marketing of two drugs to treat diabetes and lung cancer.

"Until recently, Chinese investors may have faced some obstacles of a bureaucratic nature, but this has changed. We passed an investment law in April that clarified the picture and cut bureaucracy," he said.

Meanwhile, the two sides should also boost cooperation in the environment, renewable energy and tourism fields, which are especially important to Greece, according to the ambassador.

"Chinese tourists are lagging behind other countries. This year, we'll have about 45,000 or 50,000 tourists from China and 2 million from other countries. China is not on the top of the list, by no means," said the ambassador.

He noted that even though Greece is a very popular tourism destination and the number of Chinese tourists in Greece surged 50 percent year-on-year in 2013, there are no direct flights between the two countries. However, that might change next year, which will unleash huge potential, he added.

"Chinese tourists are very important," Costis said. "The number of Chinese tourists in Greece is too low. We can double or triple the number easily within two or three years."