Scaring off investors

Before a Greek politician claims he wants to attract foreign investments to the country, he must make sure that both he and the Greek state are taken seriously.

A country whose tax system changes on a near-annual basis will never be taken seriously by any investor. The same applies to a state which at the close of the year decides to change the terms on which individuals and firms made their purchasing and investment decisions.

The nation’s lenders are not without responsibility as they have come to treat Greece as a collection of fiscal holes that must be covered without much concern about the consequences.