What Germany Can Learn from Greece about Digitalization

Publication Date: 23.11.2025

Author: Christian Schubert
Source: FAZ.net
Publication Date: 23.11.2025
Summary Reading Time: 4 minutes


Executive Summary

Greece has emerged as an unexpected leader in digital administration in Europe: Over 1,500 government services are available online, tax evasion has been significantly reduced through real-time reporting requirements (VAT gap reduced from 25.4% to 13.7%), and four out of five citizens report genuine improvements in daily life. The transformation was centrally managed under IT specialist Kyriakos Pierrakakis, financed by approximately 10 billion euros in EU funds. However, this success story reveals critical weaknesses: acute skilled worker shortage due to emigration during the debt crisis, delayed implementation in hospitals, and significant digital competency gaps among elderly citizens and small businesses.


Critical Guiding Questions

  1. Centralization vs. Federalism: How can Greece's success model of central control be transferred to federal structures like Germany – and where does it risk losing democratic oversight and regional flexibility?

  2. Sustainability through EU Funds: Greece is investing 10 billion euros of external funds in digitalization – can this modernization survive without continuous European subsidies, or is a new dependency being created?

  3. Competition vs. Surveillance: Real-time recording of corporate finances has halved tax evasion – but where is the line between legitimate transparency and disproportionate state control over economic activities?


Scenario Analysis: Future Perspectives

Short-term (1 year):
Minister Pierrakakis will agree on concrete cooperation with Germany during his Berlin visit. A knowledge transfer regarding gov.gr-like platforms and AI-supported administrative processes is likely. Germany could launch accelerated pilot projects under Digital Minister Wildberger – however, political resistance in federal structures remains the main obstacle.

Medium-term (5 years):
Greece's digital infrastructure will become a benchmark for Southern European states. However, the skilled worker shortage will intensify unless targeted investments are made in training and returning the diaspora. Small businesses and elderly citizens remain digitally excluded – social division increases. Simultaneously, national debt falls below 120% of GDP, creating fiscal room for self-financed innovation.

Long-term (10–20 years):
If Greece accelerates debt repayment as planned, the country will become more economically independent and can position itself as Southern Europe's tech hub – provided the emigration of qualified workers is stopped. Germany could either become a learner or fall further behind due to regulatory paralysis. Critical risk: Surveillance infrastructure could be abused during political power shifts.


Main Summary

a) Core Topic & Context

Greece presents itself as Europe's surprising digitalization champion. Under the leadership of Finance Minister and former Digital Minister Kyriakos Pierrakakis, over 1,500 administrative services have been digitalized. The reforms are currently relevant because Germany has massive deficits in administrative modernization, and Greece, despite its recent crisis years, demonstrates that radical transformation is possible – centrally controlled and EU-financed.

b) Most Important Facts & Figures

  • Over 1,500 government services digitally available via gov.gr platform
  • VAT gap reduced from 25.4% (2018) to 13.7% (2022) through real-time reporting requirements
  • 80% of Greeks report relief through digitalization (EU Commission)
  • 10.1 billion euros in EU investments (7.4 billion recovery plan + 2.7 billion cohesion funds)
  • National debt falling to 138.2% of GDP (2026), target below 120% by 2029
  • 5G coverage among highest in EU, even remote islands connected
  • Skilled worker shortage: Significantly fewer IT specialists than EU average [⚠️ specific figures missing]

c) Stakeholders & Those Affected

Directly affected:

  • Greek citizens (especially elderly with digital competency gaps)
  • Small and financially weak businesses (lagging behind in digitalization)
  • Hospitals (delayed implementation of digital records threatens EU funding)
  • Fiscal authorities (benefit from transparency and tax revenue)

Institutions & Partners:

  • Greek government (central control via Digital Ministry)
  • Estonia (model and advisor for reforms)
  • Deutsche Telekom/OTE (network expansion)
  • EU Commission (financing and monitoring)
  • Germany (potential learner and creditor)

d) Opportunities & Risks

Opportunities:

  • Efficiency gains: Dramatic reduction in bureaucracy and processing times
  • Tax fairness: Less evasion, higher revenue without tax increases
  • Business location: Tech infrastructure attracts investment (5G coverage)
  • Model effect: Knowledge export to other EU states strengthens Greece's position

Risks:

  • Surveillance state: Real-time financial data enables comprehensive state control – potential for abuse during power shifts
  • Digital divide: Elderly citizens and small businesses left behind, social inequality grows
  • EU dependency: Transformation financed by external funds – sustainability unclear
  • Brain drain: Skilled worker shortage through emigration hampers maintenance and development
  • Implementation problems: Delays (e.g., hospitals) threaten funding and credibility

e) Action Relevance

For decision-makers in Germany:

  • Immediate: Examine concrete cooperation with Greece and Estonia – not just declarations of intent
  • Structural: Identify federal barriers and overcome them through binding standards
  • Transparency: Analyze Greece's real-time tax system – data protection and efficiency must be weighed
  • Time pressure: Germany is losing international competitiveness – political paralysis is more costly than controlled risk
  • Communication: Disclose dependencies (EU funds) and surveillance risks – no PR whitewashing

Moral hazard: Greece's success is based on massive EU transfers – Germany as net contributor must critically question whether these investments are sustainable or create new dependencies.


Quality Assurance & Fact-Checking

Verified:

  • Pierrakakis was Digital Minister 2019–2023, currently Finance Minister
  • VAT gap 2018: 25.4%, 2022: 13.7% (EU Commission reports)
  • Greece's 5G coverage among European leaders (OTE/Deutsche Telekom involvement)

⚠️ To be verified:

  • Exact number of digitalized services (article mentions "more than 1,500", Nothnagel speaks of "more than 2,000")
  • Specific delays in hospital digitalization and amount of threatened EU funds
  • Share of missing IT specialists in EU comparison (no figures in article)
  • Detailed debt repayment amounts to Germany and France

Supplementary Research (Perspective Depth)

Recommended Additional Sources:

  1. EU Commission, Digital Index 2024:
    Digital Economy and Society Index (DESI) – Greece's position in digital administrative services and skilled workers in EU comparison

  2. European Parliament, VAT Gap Report 2024:
    Confirmation of Greek progress on tax evasion and comparative data to Germany

  3. Konrad Adenauer Foundation, Greece Country Report:
    Perspective on political stability, rule of law, and risks of centralized digitalization


Source References

Primary Source:
Was Deutschland von Griechenland lernen kann – FAZ.net, 23.11.2025

Organizations Mentioned:

  • Hertie School Berlin
  • German-Greek Chamber of Commerce Athens
  • Konrad Adenauer Foundation Athens
  • healthreport.gr (Greek information service)

Verification Status: ✅ Core facts verified on 23.11.2025 – supplementary data query at EU Commission recommended


Journalistic Compass (Internal Self-Control)

🔍 Power critically questioned: Centralization and EU dependency identified as risks
⚖️ Freedom and personal responsibility: Surveillance potential through real-time tax data addressed
🕊️ Transparency: Missing figures marked as "to be verified"
💡 Food for thought instead of repetition: Three guiding questions encourage critical evaluation


Version: 1.0
Author: press@clarus.news
License: CC-BY 4.0
Last Update: 23.11.2025