Ministry of Development: Key Clarifications on the New Foreign Direct Investment Incentive Regime
[1m 10s read]
The Ministry of Development has released a concise set of clarifications regarding the new draft law on Foreign Direct Investment (FDI), outlining ten essential questions and answers that explain the scope, objectives and operational framework of the proposed Incentive Regime. The briefing aims to provide clear guidance to investors, enterprises and institutional stakeholders on how the new system will function and which types of investment projects may qualify.
The draft law introduces a dedicated institutional framework for FDI projects financed by non domestic capital and aligned with specific developmental priorities. Eligible investments range from €10 million to €50 million, with maximum aid limits set at €20 million per project. The regime focuses on high value sectors such as manufacturing, industrial production, applied research, artificial intelligence, biotechnology, defence industries, aeronautics, logistics, and specialized healthcare facilities.
The incentive package includes tax relief, fast track licensing within two months, access to guaranteed loans for SMEs through the Hellenic Development Bank, and facilitated residence permits for investors and specialized personnel. Eligible expenditures primarily concern productive investments in tangible assets, while operating costs and non productive expenses are excluded.
The annual call for applications will be issued once per year by the Minister of Development, specifying aid intensities, deadlines, documentation and eligibility criteria. Evaluation will be conducted through a dedicated committee within 90 days, supported by fully digital procedures to ensure transparency and legal certainty. Progress checks will take place during implementation, with partial certification options at 50% or 65% completion.
An investment is considered complete only when both the physical and financial scope have been delivered and productive operations have begun. Failure to submit the required completion documentation within the prescribed deadline results in automatic revocation of approval.
This briefing provides international investors with a clear overview of the new FDI framework, highlighting the mechanisms, safeguards and incentives designed to support large scale, high impact investments in Greece.
