Greece, along with Italy, has taken significant measures to strengthen social protection, an interim report by the Organisation for Economic Co-operation and Development (OECD) on reforms implemented in 2017 said on Monday.
The Economic Policy Reforms 2018: Going for Growth noted that Greece has implemented the Social Solidarity Income at a national level, enhancing the infrastructure for identifying household recipients and the transfer of resources.
The report also states that Greece has made progress in implementing the comprehensive reform of public administration adopted in 2016, which aims at reducing political interference and increasing transparency and accountability and fighting against corruption.
Regarding the electricity market, the OECD states that Greece has established greater competition in the market of electricity generation. It also said that 15 countries have recently reformed their bankruptcy laws. “The countries that have made the largest reforms in this area are Chile, Germany, Greece, Japan, Portugal and Slovenia,” the report said.
The country is also hailed for promoting since 2010 reforms in debt restructuring.
Concerning taxation, the OECD said Greece improved tax compliance and reduced by one-third the tax-free limit for personal income tax – a law that will go into force in 2019. It also emphasizes that in countries such as India, Indonesia and Turkey, but also Italy and Greece – black labour (labour informality) remains a key challenge for boosting inclusive growth.
“Addressing this requires reforms of burdensome product and labour regulations, along with reducing labour tax wedges on low-paid workers where they remain high,” the report says.