© 2014 KPMG Certified Auditors AE, a Greek Societe Anonyme and a member firm of the KPMG network of independent member firms affiliated with KPMG International Cooperative ("KPMG International"), a Swiss entity. All rights reserved. Printed in Greece 0 Global Capital Forum I Marios T. Kyriacou 3 February 2014

1 © 2014 KPMG Certified Auditors AE, a Greek Societe Anonyme and a member firm of the KPMG network of independent member firms affiliated with KPMG International Cooperative ("KPMG International"), a Swiss entity. All rights reserved. Printed in Greece Policy Drivers for Greece’s Investment Landscape Do we want (foreign) investment?

2 © 2014 KPMG Certified Auditors AE, a Greek Societe Anonyme and a member firm of the KPMG network of independent member firms affiliated with KPMG International Cooperative ("KPMG International"), a Swiss entity. All rights reserved. Printed in Greece Policy Drivers for Greece’s Investment Landscape We assume YES! So let’s get serious about it!

3 © 2014 KPMG Certified Auditors AE, a Greek Societe Anonyme and a member firm of the KPMG network of independent member firms affiliated with KPMG International Cooperative ("KPMG International"), a Swiss entity. All rights reserved. Printed in Greece Foreign investment International (and also local) funds ?

4 © 2014 KPMG Certified Auditors AE, a Greek Societe Anonyme and a member firm of the KPMG network of independent member firms affiliated with KPMG International Cooperative ("KPMG International"), a Swiss entity. All rights reserved. Printed in Greece Policy Drivers for Greece’s Investment Landscape Country Risk Stable legislation Ease of doing business Adequate return on investment Recognize what the investor considers, which is:

5 © 2014 KPMG Certified Auditors AE, a Greek Societe Anonyme and a member firm of the KPMG network of independent member firms affiliated with KPMG International Cooperative ("KPMG International"), a Swiss entity. All rights reserved. Printed in Greece Policy Drivers for Greece’s Investment Landscape Recognize where we are, which is: Technically bankrupt Country – kept alive by foreign funding Lack of liquidity Complex Public Administration – lack of continuity

6 © 2014 KPMG Certified Auditors AE, a Greek Societe Anonyme and a member firm of the KPMG network of independent member firms affiliated with KPMG International Cooperative ("KPMG International"), a Swiss entity. All rights reserved. Printed in Greece Policy Drivers for Greece’s Investment Landscape Therefore we should approach it in two stages: Short TermLong term

7 © 2014 KPMG Certified Auditors AE, a Greek Societe Anonyme and a member firm of the KPMG network of independent member firms affiliated with KPMG International Cooperative ("KPMG International"), a Swiss entity. All rights reserved. Printed in Greece Short term actions: create and nurture appealing environment Generates positive investment and business climate Identify existing companies with potential – provide financial and managerial support Examine current funding programs (e.g. Jeremie, ESPA) and create a new unified funding agency Use the new funding agency to ensure viability of qualifying existing companies

8 © 2014 KPMG Certified Auditors AE, a Greek Societe Anonyme and a member firm of the KPMG network of independent member firms affiliated with KPMG International Cooperative ("KPMG International"), a Swiss entity. All rights reserved. Printed in Greece Long term Establish cooperative public administration Seek ways to overcome country risk Find ways to compensate for country risk i.e. continue demonstrating determination to move on reforms – increase pace of change, competitive incentive legislation Break with the past and write laws in practical and clear language with a view to helping business Transparency – no surprises or hidden costs i.e. establish a committee with the power to interpret legislation and provide binding advance rulings Intra-state cooperation

9 © 2014 KPMG Certified Auditors AE, a Greek Societe Anonyme and a member firm of the KPMG network of independent member firms affiliated with KPMG International Cooperative ("KPMG International"), a Swiss entity. All rights reserved. Printed in Greece Attracting foreign investment: become more competitive Offset weak country risk position by comparative advantage vis-à-vis competition Examine investment incentive laws in competing countries Introduce an investment law with incentives that are better than those of the competing countries

10 © 2014 KPMG Certified Auditors AE, a Greek Societe Anonyme and a member firm of the KPMG network of independent member firms affiliated with KPMG International Cooperative ("KPMG International"), a Swiss entity. All rights reserved. Printed in Greece Finally a PLAN for Greece Prepare Greece’s architectural / business plan Study and determine ways to achieve desired role Prepare the action plan (business plan) Prepare the strategic plan i.e. gateway center for IT development, tourism, agriculture etc. Align educational system Determine desired role for Greece in South East Europe, in EU and Globally

Thank you Marios T. Kyriacou Senior Partner KPMG Certified Auditors ΑΕ 3, Stratigou Tombra Str Aghia Paraskevi Athens Τ kpmg.com/gr

© 2014 KPMG Certified Auditors AE, a Greek Societe Anonyme and a member firm of the KPMG network of independent member firms affiliated with KPMG International Cooperative ("KPMG International"), a Swiss entity. All rights reserved. Printed in Greece. The KPMG name, logo and "cutting through complexity" are registered trademarks or trademarks of KPMG International Cooperative ("KPMG International").