Brussels, 3 October 2022 (TDI): The government of Greece has submitted the second payment request to the European Union’s Recovery and Resilience Fund. The requested amount is about 3.56 billion euros which also includes loans.
The request application was announced by the Deputy Minister of Finance, Theodoros Skylakakis.
The Second payment request
Greece received the total amount of the first installment, disbursed on April 8, 2022. The investment amounted to 3.56 billion euros including 1.72 billion euros for subsidies and 1.84 billion euros for loans.
Now the second investment of 3.56 billion euros will flow into the public treasury, as the successful completion of the 28 planned milestones. This also includes both subsidies and loans.
Finance Minister Theodoros Skylakakis stated in a press conference on this matter that Greece is among the first five countries that have submitted a second payment request. However, he spoke of a big challenge ahead, as the time to complete the program ends in just four years, which is equal to the average delay of projects in previous years.
It is estimated that around €7.5 billion has been disbursed so far, including €4 billion in grants and €3.5 billion in loans. In addition, if the second installment is disbursed, and as expected, by the end of the year, more than €11 billion will have flowed into the public treasury.
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According to an estimate, there is high interest not only in the subsidies but also in the Fund’s loans. They are secured at a mean interest rate of 0.90%, with an average repayment period of approximately 10 years, meaning they are particularly beneficial for companies.
Greece is among the first five countries to submit a request for disbursement of the second payment from the Trade Adjustment Assistance (TAA). Moreover, Greece would be the first to submit a request for the third payment.
