Greek law 4608/2019, as amended by Law 4635/2019 created an agile framework for fast approval and realization of Strategic Investments in Greece. Within this new legal framework, several investment projects have been recently characterized as strategic and the relevant administrative approvals for their realization have been provided with fast track procedures
I. Categories of Strategic Investments :
Strategic investments enter in five categories, as per following investment criteria:
|Categories||Budget||New and viable
|=< € 40.000.000,00||=<75|
|=< € 30.000.000,00||=<50|
|Emblematic Investments||investments realized by internationally distinguished as first class legal entities at their respective industry, including in particular the entities that promote a green economy and an economy of a low energy and environmental imprint|
|=< € 200.000,00
In fields of Industry and Tourism
|=< € 20.000.000,00||=<30|
|Automatically included Strategic Investment||Investments approved by the Ministerial Committee of Partnerships of Private and Public Sector and Investments characterized as European Energy Projects of Common Interest (PCI).|
II. Investment Incentives :
The following main Investment Incentives could be provided, depending on the category of the investment:
- Stabilization of Income tax coefficient, for 15 years, starting from the date of completion of the investment.
- Tax exemption from income tax on the realized, before tax, profits, after the deduction of the legal entities profit tax. The amount of the tax exemption constitutes an equal reserve and is calculated on a scaled basis of the eligible costs.
- Acceleration of tax depreciation on fixed assets included at the approved investment plan.
- Fast track licensing incentive, according to which, for the issuance of any license, approval or opinion for the establishment or operation of a Strategic investment, there is a time period set of 45 days. This deadline begins from the date of submission from the Investment Entity, of all documents at the General Management of Strategic Investments of the Ministry of Development.
- Golden Visa
III. Procedure for the characterization of an investment as strategic:
a) Submission of a petition for the characterization of the investment as strategic. Any interested investment entity may submit at “Enterprise Greece S.A” a petition for the characterization of the investment plan as a strategic investment, along with the incentives that it requires to receive.
The petition must include at least the following:
1) a business plan which includes, the identity of the investor, timeline of implementation and operation, previous experience, analytical description of the investment, reference to eligibility criteria, reference to new technologies, the valued added from the investment, innovation of the project, environmental protection issues etc.
2) Property agreements of a minimum time of 30 years or 15 years (depending on the incentives granted)
3) analysis of the budget of the total investment, the structure of the funding both during the construction and during the operation, comfort letter or proof of funds, in case of investments funds from a banking institution which has its seat in the E.U or other financial institutions that have been sufficiently rated by International rating institutions, return on investment indicators, benefits of the Public domain and of the local community.
4) Environmental and urban characteristics of the properties, investment impact assessment including social and environmental consequences.
5) A non-revocable authorization to “Enterprise Greece S.A” to proceed with any necessary actions for the control of the submitted file and publish the relevant information
6) Payment of fee at Enterprise Greece S.A-0.1% of the total investment cost. (not lower than 50.000 € not greater than 250.000 €).
7) Solemn declaration of Legal Representative of Investor on the accuracy of all submitted documentation
8) Analysis of all subsidies requested and relevant eligible expenses, if applicable.
b) Within 45 days from the date of the petition, Enterprise Greece S.A evaluates and opinions on the matter, after which, the investment proposal, is forwarded for public consultation for a period of 15 days.
c) The Ministerial Committee of Strategic Investments (DESE), within 30 days decides, after an opinion of the Minister of Development and Investments for the characterization of an investment plan as a strategic investment, along with the incentives that will be provided.