Small and medium-sized enterprises (SMEs) proved resilient to the difficulties of the economic climate in 2022, proving for one more year that they constitute the basis of Greece’s economic activity, accounting for 83.5% of employment and 57% of Gross Value Added (GVA).
According to the analysis of the data and the estimates of the European Commission (2023 SME Country Fact Sheet), small and medium-sized entrepreneurship in Greece recovered significantly in 2022, with the number of SMEs increasing by 3.6% (731.8 thousand), employment by 5.1% (2.2 million) and Gross Value Added by 7.6% (34.8 billion euros, at current prices), despite the intense pressures it suffered during the pandemic. It is worth mentioning that the growth of employment in SMEs was the second highest in the European Union, behind Ireland.
According to analysts of Alpha Bank’s analysis department, the prospects for the further development of SMEs remain favorable, as the European Commission predicts an increase in their Gross Value Added as well as an increase in employment by 8.9% and 2.1% in 2023, respectively.
Regarding the performance by sector of economic activity for 2022, SMEs active in services represent 35.4% of the total Gross Added Value produced by SMEs and 52% of employment, while in trade, the contribution of SMEs is greater in Greece compared to the European average.
It is worth mentioning that approximately 137 thousand SMEs were active in the construction sector in Greece in 2008 (16% of all SMEs), while the number significantly decreased to 63.6 thousand in 2022.
As the analysts underlined, the problem of low productivity on the part of small and medium enterprises in Greece can be overcome through the rise of investments in capital equipment, combined with digitization and technological upgrading.
