Gentiloni message to Greece and member states with high debt: ‘Be very careful’

The need for Greece and all member states with high debt to be “very careful” in reducing and limiting nationally funded current expenditures, stressed today the Commissioner of Economy, Paolo Gentiloni.

“In general, I can say that Greece and all Member States with high debt should be very careful in reducing the level of debt and reducing nationally funded current expenditure. This is a principle that must be taken into account not only from Greece, but also from all member states with high debt “, said Paolo Gentiloni. He also said that next week, when the Commission presents its financial recommendations to the Member States, compliance with the 2% primary surplus target for Greece will be taken into account.

Regarding the Recovery and Resilience Mechanism (RRF), Paolo Gentiloni said that some features related to his regulation will be finalized, through the RepowerEU project that will be presented in two days by the Commission. He said that the final distribution of 30% of the grants will be determined by the end of June. “Following this redistribution, we expect to have several proposals to adapt RRF plans coming from Member States, especially those with significantly fewer grants,” said the Commissioner for the Economy.

Regarding RRF loans, P. Gentiloni stated that more than 200 billion euros in loans have not been requested from the Member States, however Spain and Poland are willing to submit this request (approximately 70 billion Spain is expected to apply for € 25 billion in loans and Poland to receive € 25 billion. He also reminded that the Member States can apply for loans until August 2023.

Source: ΑΠΕ-ΜΠΕ