##sper in the context of a deepened and completed economic and monetary union. building on this political consensus, the greek authorities must pursue the remaining reforms forcefully in order to improve the investment climate, take full advantage of the brighter global prospects and put the economy on a sustainable growth path. such policies will address the three stock imbalances that remain ( high unemployment, high public debt and a large volume of non - performing loans ), attract foreign direct investment and facilitate the reallocation of productive resources towards tradable and exportable goods and services. this, in turn, will boost financial markets ’ confidence about the prospects for the greek economy and will signal the exit from the crisis. nevertheless, despite the progress achieved so far, we still have some way to go in order for greece to tap the financial markets on sustainable terms after august 2018. this will happen if the country can achieve a credit rating enabling it to refinance its debt at interest rates compatible with debt sustainability and if banks have appropriate and adequate collateral to have full access to the ecb ’ s refinancing operations ( and not only to ela ). to this end, the reform effort has to be stepped up to close the third review. adequate and timely specification of the medium - term debt relief measures in the context of the decisions taken in the eurogroup is also necessary, as is constructive dialogue between the greek government and the institutions on the type of support for the greek economy after the end of the programme in august 2018. in this way, we can ensure a return to financial normality after seven years of significant sacrifices by the greek people. sources : draghi, mario, 2017. introductory statement, www. ecb. europa. eu / press / pressconf / 2017 / html / ecb. is170907. en. html september. draghi, mario, 2017. building on the achievements of post - crisis reforms, 21 september. www. ecb. europa. eu / press / key / date / 2017 / html / ecb. sp170921. en. html draghi, mario, 2017. youth unemployment in the euro area, www. ecb. europa. eu / press / key / date / 2017 / html / ecb. sp170922 _ 1. en. html september. draghi, mario, 2017. introductory statement. hearing of the committee on economic and monetary affairs of the european parliament. www. ecb. europa

. therefore, it is essential to establish an effective framework for macroprudential supervision that will ensure both the systematic analysis of risks and the formulation of policies to address such risks. the state of the greek economy the economic slowdown has been less severe in greece than in many other european countries. however, this outcome reflects factors that, if left untreated, will reduce growth potential in the medium term. specifically, the performance of the greek economy during the crisis reflects the relatively - low level of openness and the deterioration of public - sector balance sheets from a position that was already worrisome prior to the onset of the crisis. a factor that has, however, supported the greek economy has been the soundness of its banking system. greek banks have been free of toxic assets and their exposure to the emerging economies of south - eastern europe has remained within manageable limits. a recent stress test conducted in close cooperation with the imf has reaffirmed the soundness of the greek banking system. the relatively - high growth rates experienced by the greek economy since its entry into the euro area reflect a catching - up process. to sustain a robust growth rate in the future, greece will need to address several key challenges, reflected in persistently very large currentaccount imbalances, high fiscal deficits, and worrisome debt levels. these imbalances are the result of structural rigidities, which have undermined competitiveness over time. to restore competitiveness and remove the imbalances, a dual agenda needs to be concurrently implemented : first, a multi - year program of fiscal consolidation, which can reduce risk premia and crowd - in private investment, raising the growth potential of the economy ; second, bold and wide - ranging institutional reforms in the public sector and structural reforms in product and labor markets, which can enhance productivity and raise the employment rate. only by undertaking these reforms will the greek economy be able to become more competitive and increase its growth potential and the prosperity of its citizens. the broad support received by the newly - elected government will greatly facilitate the implementation of the reform agenda.