The document summarizes key aspects of the Hellenic Parliament's Parliamentary Budget Office (PBO). It outlines the PBO's legal framework, mission to monitor Greece's state budget and provide assistance to parliamentary committees. It describes the PBO's administration and functioning. The majority of the document discusses the PBO's quarterly reports, including their structure, methodology, sources, special topics covered, and some of the findings presented in past reports from 2013 to 2015 regarding Greece's economic challenges in meeting fiscal targets and implementing reforms.

1. PARLIAMENTARY
BUDGET OFFICE
HELLENIC PARLIAMENT
Prof. PANAGIOTIS LIARGOVAS
Coordinator
8th Annual Meeting of OECD Parliamentary Budget
Officials and Independent Fiscal Institutions
Paris, 11-12 April 2016

2. A. Legal framework
• Regulation (EU) no.473/2013
a) Statutory regime
b) Independent status and capacity to communicate publicly
c) Nomination of PBO’s members
d) Resources and access to information
• Minimum standard
i) Adequate level of resources and management flexibility
ii) Independence from political pressures
iii) Access to information
iv) “Comply or explain” principle

3. B. Mission, Function and Organization
PBO:
• is responsible for the monitoring of State Budget's implementation,
• provides assistance to the workings of two Parliamentary
Committees,
• issues and submits to the above committees quarterly and annual
reports,
• organises conferences and public hearings on issues falling on its
fields of authority.

4. C. Administration and functioning

5. D. Quarterly reports
• Structural problems of the Greek economy
1. The long-time problem of non-sustainable management of public finances
2. The widespread tax evasion and limited tax base
3. The inability to rationalize public expenditure
4. The lack of competitiveness
• Implementation of measures to stop recession
1. Acceleration of projects within the National Strategic Reference Framework
2007 – 2013
2. Development and usage of funding tools from the European Investment Bank
3. Restart big public development projects
4. Development of a National Export Strategy

6. D. Quarterly reports
• Monitoring of the implementation of a series of structural reforms
1. The privatization program
2. The development of public-owned real estate
3. The strengthening of competition in products and services
4. The support of entrepreneurship
5. The strengthening of competitiveness of the Greek economy
6. The support of investments in new sources of growth
• Monitoring of macroeconomic and fiscal dangers which might
impact economy
• Monitoring and implementation of the State Budget and the
compliance of the General Government to the fiscal Rules

7. D. Quarterly reports
• Assessment of the impact of the main sources of fiscal risk from the
Medium Term Financial Strategy
• Monitoring of the implementation of the Public Investments’
Program
• Monitoring of the evolution of the borrowing program as well as of
the debt management
• Monitoring of the macroeconomic developments and prospects
• Monitoring budgetary developments and projections on the
General Government and its sub-sectors
• Monitors budgetary allocation

8. D. Quarterly reports
oSources
- National institutions for management of public finance
- European Institutions
- International Organizations

9. D. Quarterly reports
oSpecial subjects
• Recession in Greece and Europe.
• Unemployment.
• Development of Current Account Balance.
• Private Investments.
• Competitiveness of the Greek Economy.
• Implementation of State Budget.
• Recapitalization of Banks.
• The Business Climate Indicator in Greece, Eurozone and EU.
• Independent fiscal auditing – Best International Practices.
• Institutional reforms that impact fiscal management.
• Public Debt after the end of the “Memorandum” (2014).
• Financing the private sector.
• The deposit base of Banks.
• The spreads of the Greek Bonds and the Stock Market index.
• Benefiting from EU funds during the current economic crisis.
• Comparative study on indirect taxation in EU. The case of reduced VAT rates in Aegean islands.

10. D. Quarterly reports
o Methodology for drafting reports
• Determination of thematic units.
• Collection of information and data (building of tables and diagrams).
• Tables, diagrams and relevant text is submitted to the Scientific Committee by the Coordinator.
• Discussion in sitting between scientific personnel and Scientific Committee.
• Scientific personnel performs suggested modifications and final texts are prepared.
• The text is drafted in an appropriate language to be understandable to the members of
parliamentary Committees and the general public that do not have scientific expertise in
economics.
• Presentation of reports in parliamentary Committee sessions which is followed by discussion
between MPs and the Coordinator of the Office.

11. E. Presentation of some of the findings made in the
reports
o Quarterly report July-September 2013

12. E. Presentation of some of the findings made in the
reports
o Quarterly report July-September 2013
“… it is doubtful whether it is feasible to achieve a sustainable high surplus at least until 2020 as it is stated in
the formal agreements.
o Quarterly report January-March 2014
“… But these targets, although they have been adjusted for the period 2014-2015, are still over-optimistic,
especially for the period 2016-2018.”.

13. E. Presentation of some of the findings made in the
reports
o Quarterly report July-September 2015
“in the third Memorandum more realistic targets - concerning the achievement of primary surpluses - have
been set…”
“Since April 2014, the PBO has raised the issue of the sustainability of primary surpluses, high-lighting the
necessity for a downward revision of such ambitious targets. …”

14. E. Presentation of some of the findings made in the
reports
oQuarterly report July-September 2015
“…as far as reforms are concerned, the third Memorandum is front-loaded, meaning that almost all measures
(about 233) should be implemented till June 2016. (…) The PBO assess the program as complex and very
ambitious. The new government has no time to lose. The administrative skills are challenged for such a
demanding task. In addition, the reforms will be implemented in a recessionary environment, due to the
deterioration of fundamentals in the second half of 2015. ….. International experience shows that
implementation of successful reforms is more difficult during a recession.”
“Moreover, while honest tax payers' capacity to pay new taxes is limited, the increased tax rates and possible
new taxes can stimulate tax evasion.”.

15. E. Presentation of some of the findings made in the
reports
o Quarterly report October-December 2015
“Unless the necessary decisions are made and critical actions are taken, advancements in the economy will
soon lead to undesirable solutions.”

16. Thank you
for your attention
Prof. PANAGIOTIS LIARGOVAS, Coordinator
E-mail: p.liargovas@parliament.gr
PBO of Greece: www.pbo.gr