The European Commission acknowledges the significant progress made by the Greek government in restructuring the country's public finances, reducing deficit and public debt and restoring transparency in statistical data, Greek Economy and Finance Minister George Alogoskoufis said on Tuesday.

He was commenting on the European Commission's assessment report on the country's stability and growth program for the period 2006-2009 in Brussels.

The report says Greece cut its excessive fiscal deficit in 2006, while underlining that long-term fiscal stability was needed for the economy to benefit from strong growth and to reduce the risk of higher than expected deficits after 2008.

"We are mending a bad situation we inherited and moved steadily towards achieving balanced or surplus budgets by 2012," the Greek minister said, adding "We are achieving fiscal stabilization by strengthening growth rates and combating unemployment. The growth rate, based on latest figures by the statistics services, was at least 4.2 percent in 2006, clearly above targets set both in the budget and the stability program."

The government remained steadily focused on its reform policy aiming to continue a restructuring of public finances and further strengthening growth, employment and social cohesion, Alogoskoufis said.

Joaquin Almunia, the EU Monetary Affairs Commissioner, said in Brussels on Tuesday that Greece still needs to take additional measures to further cut its public debt and support its pension system, although the country's finances are on the right track.

Source: Xinhua