The European Commission has approved a € 2 billion Greek scheme to support investment in sustainable recovery. The scheme was approved under the Provisional Framework for State Aid.
“This € 2 billion scheme will help Greece pave the way for a faster and more sustainable recovery, in line with the Greek recovery plan and It remains an important step in bridging the investment gap left behind by the crisis, and we continue to work closely with Member States to ensure that national support measures for restarting and attracting private investment can be implemented as soon as possible. and more effectively, in accordance with EU rules “.
The Greek support measure
Greece has notified the Commission, under the provisional framework, of a € 2 billion scheme aimed at providing investment support for sustainable recovery.
Under this measure, the aid will take the form of loans with subsidized interest rates.
The public support will be used to finance investments in tangible and intangible assets, in order to facilitate the development of economic activities that fall under the strategic pillars of the Greek recovery and resilience plan, especially the green transition, digitization and innovation (R&D). ). Greece will ensure that the financed investments are environmentally sustainable, according to the EU classification.
Public support will be accompanied by conditions to limit unjustified distortions of competition, including safeguards to reduce the risk of possible indirect aid to the benefit of the financial intermediaries providing the support.
The amount of individual aid will not in principle exceed EUR 15 million per beneficiary. The scheme is expected to benefit about 250 companies.
The Commission found that the Greek regime complied with the conditions laid down in the provisional framework. Particularly:
(i) the amount of aid per beneficiary shall not exceed 1% of the total budget;
(ii) the aid will benefit investments in tangible and intangible assets, but not financial investments;
(iii) interest rates on loans will comply with the minimum levels set out in the provisional framework; and
(iv) public support will be granted by 31 December 2022 at the latest.
The Commission has concluded that the Greek measure is necessary, appropriate and proportionate to promote investment in certain economic activities essential to sustainable recovery, in accordance with Article 107 (3) (c) TFEU.
On this basis, the Commission approved the aid measure under EU State Aid Rules.