ATHENS: Despite of the fears growing in Greece’s important shipping sector that the new government led by Syriza party of Prime Minister Alexis Tsipras will levy high taxes on the industry that it cannot even afford, It is to be good news for the shipping tycoons that the New Leftist government is expected to avoid tax clash with them. As the party promised that it would generate tax allowances for them.
Though Syriza has confronted fellow EU governments with radical plans to renegotiate Greece’s debts, overturn austerity policies and cancel privatizations, its stand on ship-owners, by contrast, has been decidedly conciliatory.
The Economy Minister George Stathakis, who is in charge of shipping portfolio, confirmed that his government has come to power to solve problems, not to create new ones.
Stathakis, an economist who comes from a shipping family, said during a handover ceremony at the shipping ministry: “There will be dialogue, discussion, and we will look for the best possible solution.”.
Any attempt to impose heavy taxes after decades of virtual fiscal freedom could provoke an exodus of oligarchs and businesses which are major employers, further damaging an economy that has endured years of crisis.
Some owners threatened that they plan to limit their operations in Greece or move out of the country altogether, if the industry is unable to reach a compromise with the government.
Shipping in Greece has successfully weathered a ravaging debt crisis. It is one of the country’s biggest employers, providing about quarter of a million jobs, and makes up 8% of the economic output in a country where unemployment is running close to 30%.
