JOURNALIST:
…some kind of trade truce?
Mr. MHTSOTAKIS:
Yes, I am, and I was happy to hear the comments made by the US President here in Davos that he is looking to have a quick negotiation with Europe, to conclude the trade deal as soon as possible.
I heard the President of the Commission, who we should inform the US public is negotiating on behalf of all European countries, say that we can get a deal done in weeks – I don’t know if it is going to be weeks or months, but I think that the ingredients are here for a deal that is going to be a win-win solution.
JOURNALIST:
Well, let’s compare the contrast; the comments on Tuesday from the administration are softer, Wednesday a whole lot harder.
Now, just from the President, who basically said that Europe in some ways is worse than China on trade, but also from the Secretary, Steven Mnuchin of the Treasury, essentially saying that if you arbitrarily put attacks on digital companies, we will arbitrarily put them on auto companies as well.
I just wonder your take, whether some European officials are being slightly naïve about what could be coming down the road towards them a little later this year.
Mr. MHTSOTAKIS:
Well, I am fully aware that this is not going to be an easy negotiation, but I still believe that it is in the interest of both trading blocks to reach an agreement as soon as possible.
And I think as we also enter an electoral year in the US and to the extent that trade seems to be the major concern, as far as global growth is concerned, I think that we see the world through, I think, a relatively similar prism and I think that an agreement will be reached.
JOURNALIST:
But this is important. There have been bonds broken with China, but China is distant in very much on the other side of the world.
There are many relationships. Just as an example, Matthew Prince of CloudFlare, of course, making it to Davos with his new piano bar…
JOURNALIST:
Are you promoting a piano bar?
JOURNALIST:
No, I am promoting tourism.
Mr. MHTSOTAKIS:
You are promoting marriages in Mykonos and not just Mykonos.
JOURNALIST:
No, I am promoting tourism. I am promoting tourism among all these nations in a much closer link across the Atlantic than in China.
We had a surveillance wedding in Greece that we all survived over the last 18 months as well. Do we risk, Prime Minister, breaking those cultural and social relationships with the trade world?
Mr. MHTSOTAKIS:
That is why I was always very concerned about this issue and that is why I remain cautiously optimistic.
I studied in the US, I know the US very well and I am fully aware that what unites us goes beyond common economic interests. There is a bond of fundamental values, of democracy.
I mean, look at Greece; we will be celebrating 200 years since our War of Independence in 1821, a war that was inspired by the Founding Fathers.
So, let’s look at the big picture, understand what unites us is much more than what separates us, and if we have to go back off a little bit from maximalistic approaches, then we need to do that.
JOURNALIST:
Do you sense that from the President of the United States? Is he being too adversarial in initiating these discussions?
Mr. MHTSOTAKIS:
Look, when I saw him at the White House, I encouraged him to get a deal done with Europe.
And again, I listened to his comments here in Davos, and I think the general perception is that we are on a good path.
JOURNALIST:
Let’s talk about the perception of Europe.
I live in New York, alongside Tom, we used to live in the same building as well, we don’t anymore…
JOURNALIST:
And we are not in speaking terms anymore…
JOURNALIST:
We will move on from that very quickly.
JOURNALIST:
No marriage.
JOURNALIST:
I hope not.
We are seeing now that the perception of Europe is that it is full of socialists. It is full of left wing politicians.
Mr. MHTSOTAKIS:
That is very wrong.
JOURNALIST:
And we are going to get into that in a moment.
It is full of left wing politicians that don’t want to do business,
are already interested in barriers to entry and putting a bullet around the block.
Center right politics, the future of that in Europe, what is it?
Mr. MITSOTAKIS:
We want a center right agenda. Liberal reforms, reducing taxes, deregulation and inclusive economy, we got 40%, we have an absolute majority, we have been the populists of the left and the right at their own game.
And I think this sends a very positive signal that traditional center right parties in Europe, provided that they have the right agenda, can actually win elections, they can be the populists and certainly can be the rhetoric of the left which in Greece essentially led us to a second crisis.
JOURNALIST:
In my many conversations of Greek leadership of another time and place pre-crisis there was a belief that if Greece could ride its ship the money would come back from those abroad of Greece.
Is that occurring? Do you see a new confidence where the money is actually coming back to Greece?
Mr. MITSOTAKIS:
It is coming back. It is coming back, you know, by Greeks who live abroad, it is coming back by Greeks who have decided to invest in Greece, but it is also coming from foreign investors who for the first time look at the Greece and say: hey, we have a convincing investment thesis here.
And as you know, markets have been very good with Greece, since we got elected we got our bond deals, there are ….
JOURNALIST:
Excuse me, they have not been very good, they have been a miracle, Matthew Winkler is documenting it. It is a miracle, right?
JOURNALIST:
…I believe in the moment just as we speak.
Mr. MITSOTAKIS:
Actually probably more than that, but more than Italy on many days, but it does make sense, we have a stable government, we don’t have elections for 3.5 years, we have an absolutely majority, we have delivered reforms, so why wouldn’t it happen?
JOURNALIST:
The fast money is coming back.
JOURNALIST:
And I have heard a brief conversation on …what money showing, and investors saying to you: you are a legend of the hedge fund community.
Mr. MITSOTAKIS:
Oh, that’s kind of them to say.
JOURNALIST:
Best performing, ever, market in the world, I believe, last year, fantastic amount of money.
But you are on the conviction level to put money into a market it is whole lot lower than it takes to put money into the ground to build a factory and to start investing in the country again.
Mr. MITSOTAKIS:
That is why we focus so much on deregulation on addressing issues such as bureaucracy, licensing.
If you look, for example what is happening in the real estate, real estate is really…., real estate prices are up by 11% in 2019, I expect a similar trend in 2020, look at big emblematic investments such as the old airport in Hellinikon, it has been unblocked.
So what I find very interesting is that real companies are putting real money on the ground, some of the big tech companies in the US are interested in Greece, we have Pfizer setting up in AIA center in Greece, just taking advantage of the incredible amount of talent that we have in the country.
So this is not just about tourism, it is not just about the sun or the beaches, it is about, you know, a country that is moving out of a crisis at a very fast pace.
JOURNALIST:
You’ve got some big targets. 100 billion euros of direct investment.
Mr. MITSOTAKIS:
That is the maximum we can get. But that is ….
JOURNALIST:
Let’s put a timeframe. How quickly do you think you can get that kind of investment into the country?
Mr. MITSOTAKIS:
We need that over 7-8 years, but we still have a significant capital gap to bridge and that is my main concern, how to get foreign direct investment in the country.
Mr. :
Yes.
Mr. MITSOTAKIS:
It is already happening, it will continue to happen for 2020, and I am quite optimistic about it.
Mr. :
Prime Minister, in the time that we have left with you, your family is the one of the heritage of Greece, well back into the 20th century. You have seen many Turkeys to the East. Explain to us now how you perceive the new Mr. Erdogan, it has been a changed Erdogan since 2002. How do you perceive Turkey to the East?
Mr. MITSOTAKIS:
Look, Turkey has been difficult to deal with. We have honestly said that we want a good and constructive relationship with Turkey, but overall, the behaviour of Turkey has been on the very aggressive side. They signed a deal with Libya, which is completely unacceptable to Greece, regarding the delimitation of maritime zones, it is an illegal deal, that is what the European Union said, that is what the U.S. said.
So, there is a constant state of provocation that I think will lead Turkey nowhere. We want to engage with Turkey on issues such as migration, which is a big challenge for us.
Mr. :
How do you do that? When they have so many refugees, and there is always this threat, that they are just going to open the door and let them all pour into the European Union?
Mr. MITSOTAKIS:
Well, first of all, you cannot deal with refugees by using desperate people as a geopolitical wedge.
Mr. :
Is that what the Turkish are doing?
Mr. MITSOTAKIS:
Well, that is what they have implied, I am not saying they are doing it, but I am also saying at the same time that we have an agreement, as a European Union, with Turkey, it can work well, it has worked well in the past, we need to stick to it, we need to update it, and we need to decouple migration from the other issues that we have, and I think we can do that.
Mr. :
Mr. Prime Minister, thank you so much.
Mr. MITSOTAKIS:
Thank you.
Mr. :
I am thinking what, Athens in February, maybe a little later in the year.
Mr. :
No, no, let’s go ahead.
(Dialogue)
Mr. MITSOTAKIS:
You are making a mistake, because we want to extend the season. It is a lovely time to come in Athens in the winter, or in the spring, or in the fall. You do not all need to come in July, in August. It is actually very crowded.
Mr. :
He sounds like the Mayor of Venice.
Mr. MITSOTAKIS:
Yes, do not all come together, please. Thank you so much.
Mr. :
Do not get up yet, Mr. Prime Minister, let us finish …
Mr. :
Mr. Mitsotakis, thank you very much.
