By Tasos Dasopoulos
The total amount of 970 million euros from the 12.7 billion loans of the Recovery Fund will be disbursed directly to the six commercial banks with which the Ministry of Finance signed yesterday the agreements for participation in the Financing of the Recovery and Resilience Fund “Greece 2.0”.
More specifically, the six agreements were signed, in the context of an online event, by the Deputy Minister of Finance Mr. Theodoros Skylakakis and representatives of the following credit institutions: National Bank, Piraeus Bank, Alpha Bank, Eurobank, Optima Bank and Pancretan Bank.
The continuation of the agreements will be the immediate disbursement of 970 million euros from the Ministry of Finance to the Greek credit institutions. This amount will be allocated for the financing of 30% up to 50% of private investment proposals, which the banks themselves will finance with 30% of their budget.
It is recalled that similar agreements have been signed with two international financial institutions, the European Bank for Reconstruction and Development (EBRD) and the European Investment Bank (EIB), for which an additional € 600 million is expected to be disbursed. Therefore, an amount of 1.57 billion euros will be immediately available to finance investments in Greece.
Based on the procedure provided by the Recovery Fund, within 30 working days, the specific six domestic credit institutions will publish calls for expressions of interest to investors who wish to receive a loan from “Greece 2.0” for the implementation of their plans. At the same time, in the coming days there will be an invitation to other credit institutions in the country that have not yet participated in this scheme.
To be eligible, investments must contribute to one or more of the following objectives:
1) green transition
2) digital transformation
3) innovation – research and development
Development of economies of scale through partnerships and mergers, and
5) extroversion.
The use of the loans of the Recovery and Resilience Fund “Greece 2.0” concerns all companies without exception that are interested in investing in Greece and is expected to contribute significantly to the acceleration of economic recovery and growth. The loans will be directed to long-term sustainable private sector investments, which will have a positive expected rate of return.
It is recalled that out of the 30.5 billion euros of “Greece 2.0”, 12.7 billion euros relate to loans and the remaining 17.8 billion euros to subsidies. The total amount for investments and reforms that will be mobilized, through leverage, is expected to exceed 60 billion euros.
The Deputy Minister of Finance, Mr. Thodoros Skylakakis, stated: “Today’s signing of the business agreements of the Ministry of Finance, with six banks of the country, including the four systemic ones, raises the amount that will be channeled directly to the Greek economy through € 1.570 billion, one of the largest, if not the largest, of all the National Recovery Plans in Europe. and will contribute, catalytically, to the faster transition of Greece to permanent and sustainable development “.
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Source From: Capital
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