New Development Law – 75% aid for investments under the Greek Investment Law for the year 2022 – Sectors which are granted
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New Development Law
For more information, contact with the relevant department 2106926590 or send an e-mail to [email protected] with subject: Development Law with a number of contact phone (preferably mobile) to send information material.
Greece is aiming to promote investment projects and boost the economy with incentives such as tax exemptions or subsidies for personnel costs. The funded measures include, for example, digitalisation projects, investments in sustainable tourism or company environmental and climate protection projects.
The Greek parliament has approved the Ministry of Development and Investment’s new legislation to support dynamic growth in Greece. The underlying act aims to promote economic development in Greece by granting incentives to investment projects in the following categories:
- Digital and technological transformation of enterprises
- Green transition, environmental business upgrade
- New business
- Fair development transition
- Research and applied innovation
- Agri-food, primary production and processing of agricultural and fisheries products
- Processing and logistics
- Reinforcement of the extraversion in entrepreneurship/entrepreneurs
- Investment in the enhancement of tourism
- Alternative forms of tourism
- European value chains
- 360° entrepreneurship
For more information, contact with the relevant department 2106926590 or send an e-mail to [email protected] with subject: Development Law with a number of contact phone (preferably mobile) to send information material.
Considerable tax exemptions & grants by the Greek state could receive enterprises utilizing the Investment Incentives Law, for Capital investments to establish or further modernize their business facilities in Greece.
Type of aid:
- Grant
- Subsidy
- Tax exemption
- Wage Subsidy
- Leasing Subsidy
The maximum aid intensity is up to 75% of the eligible budget*.
Indicative sectors that can be included in the aid schemes of Greek Investment Law
Tourism
- Establishment or expansion of 4* hotels and above
- Modernization of 3* hotels and above
- Establishment or expansion or modernization of 3* camping and above
- Glamping – Luxury Camping Outdoor Accommodation facilities
- Agritourism or wine tourism facilities
- Geotourism facilities
- Multifunctional farms
- Condo hotels
- Tourism facilities (conference centers, thalassotherapy centers, rejuvenation centers, thermal spa)
- Theme parks
- Golf Courses
- Ski resorts
- Sports tourism centers
- Tourist ports (marina)
- Recovery and rehabilitation centers
Technology
- Construction, expansion, modernization of building facilities and special and auxiliary facilities of buildings and the configuration of the surrounding area
- Purchase and installation of new machinery and other equipment, technical installations
- Leasing of new machinery and other equipment
- Quality assurance systems, certifications
- Costs related to the upgrading of up-skilling or re-skilling of employees
- Support of wage costs and computer and communications systems installation costs
Sports – Health
- Football and basketball Fields (4 × 4, 5 × 5 etc.), tennis courts, etc.
- Swimming pools
- Recovery and rehabilitation centers
Food & Beverage
- Production of fruit and vegetable juices
- Production of bakery products and flour products
- Production of spaghetti, lasagna, couscous and similar flour products
- Distillery – Brewery – Wine Production
- Facilities for the production of meat & ham products, cold cuts, animal by-products management facilities, slaughterhouses, shredders
- Milk utilization and dairy production facilities
- Olive mills, olive oil refineries, seed mills, edible oil processing plants
- Production of flour, drying of cereals, processing for production of malt, starch, gluten
- Processing of new – alternative – innovative crops (sea buckthorn, aronia, goji berry, aloe, etc.).
- Flowers (standardization and marketing of flowers).
Warehouse – Distribution
- Transportation services – supply chain management to third parties (logistics)
Pharma
- Production of basic pharmaceutical products and pharmaceutical preparations
- Processing units for finished medical cannabis products
Primary sector
- All types of cultivation and systems of crop production
- Livestock facilities, livestock, pig, sheep and poultry farms
Maximum aid intensity: up to 75% of the eligible budget.
Maximum amount of aid: up to €10mil.
For more information, contact with the relevant department 2106926590 or send an e-mail to [email protected] with subject: Development Law with a number of contact phone (preferably mobile) to send information material.
Eligible Expenses
Expenses which qualify for the incentives provided by the new law for qualifying investments refer to tangible and intangible assets as well as to Research and Development projects and programs.
The most important provisions are the following:
- Construction, expansion and modernization of buildings, of special and auxiliary facilities and the cost of landscaping. These costs may not exceed 40% of the subsidized cost of the investment project.
- The purchase and installation of modern machinery and equipment.
- New leasing rentals of brand new machinery and other essential equipment. The equipment can also be acquired, if the lease includes an obligation to purchase these at the end of the lease.
- Intangible assets, such as spending quality assurance and quality control, certification, supply and installation of low interest ware and system organization of the business spending on technology transfer through the purchase of intellectual property, licensing, patents, know-how or unpatented technical knowledge etc. Intangible assets must be depreciable assets used exclusively in the assisted investment to remain at the premises for at least five years and the cost does not exceed 50% of the subsidized cost of the project.
Subsidy Levels
The amount of subsidy provided to each investment project depends on the size of the qualifying enterprise (investment vehicle) and on the prefecture where the investment plan is implemented. In any case the subsidy must not exceed 50% of the qualifying cost of the investment plan. On this basis, Greece is divided into three zones based on the level of development of each prefecture.
Subsidies provided in zone A (prefecture Attica and Viotia) vary from 15% to 25% of the investment depending on the size of the enterprise
Subsidies provided in zone B (prefectures with per capita Gross National Product above 75% of the country’s average) vary from 30% to 40% of the investment depending on the size of the enterprise
Subsidies provided in zone C (prefectures with per capita Gross National Product lower than 75% of the country’s average) vary from 40% to 45% of the investment depending on the size of the enterprise.
Finally, the highest percentages are provided for investment projects implemented in islands and remote areas up to a threshold of 50% of the qualifying investment cost.
For more information, contact with the relevant department 2106926590 or send an e-mail to [email protected] with subject: Development Law with a number of contact phone (preferably mobile) to send information material.
Subsidy rates:
MAP OF REGIONAL AID OF GREECE FOR THE PERIOD 1.1.2022‐31.12.2027 – Maximum aid objections that apply to regional aid.
| Name of the Region | |||
| Big companies | Medium Businesses | Small and Very Small Businesses | |
| North Aegean | 50% | 60% | 70% |
| Southern Aegean Sea | 30% | 40% | 50% |
| Crete | 40% | 50% | 60% |
| Eastern Macedonia, Thrace | 50% | 60% | 70% |
| Central Macedonia | 50% | 60% | 70% |
| West Macedonia | 40% | 50% | 60% |
| Continent | 50% | 60% | 70% |
| Thessaly | 50% | 60% | 70% |
| Ionian Islands | 40% | 50% | 60% |
| West Greece | 50% | 60% | 70% |
| Central Greece | 40% | 50% | 60% |
| Evrytania | 50% | 60% | 70% |
The investment plans that will be implemented in parts of SDAM areas, the percentages will be increased by 10%. For the North Aegean region the percentage can not exceed 75%.
SDAM transition areas are defined:
a) the Region of Western Macedonia (Regional Units of Grevena, Kastoria, Kozani and Florina)
b) the Regions of North Aegean, South Aegean and Crete,
c) the Municipalities of Megalopolis, Tripoli, Gortynia (Regional Unity of Arcadia) and Oichalia (Regional Unity of Messinia).
* It is in consultation
For more information, contact with the relevant department 2106926590 or send an e-mail to [email protected] with subject: Development Law with a number of contact phone (preferably mobile) to send information material.
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