The Greek Ministry of Development has introduced a new monitoring system to ensure businesses that benefit from state subsidies comply with their long-term obligations. A ministerial decision signed by Development Minister Takis Theodorikakos, published in the Government Gazette, sets out an annual inspection framework covering companies that have received investment support under the country’s development laws.
Under the new rules, every beneficiary must submit evidence once a year showing that they continue to meet the conditions laid out in the approval of their investment plan. The process will be carried out electronically within two months of the anniversary of the project’s completion and start of operations, and it will continue until the obligation period expires. In cases where the completion decision is issued later, the required documentation must be filed within two months of publication and always before the first payment of aid.
The length of these obligations depends on which development law applies. For projects approved under the most recent framework, Law 4887/2022, compliance is required for six years after completion, with possible extensions in cases of leasing contracts or commitments to new jobs. Under Law 4399/2016, the period is seven years for large companies, five for medium-sized, and three for small and very small enterprises. For older regimes, dating back to 2004 and 2011, the obligations are five years for medium and large businesses and three years for smaller ones, or until the end of any leasing agreements.
Special transitional measures apply to businesses that had already submitted compliance data before July 2022. These companies are required to resubmit their information electronically within two months of the new decision’s publication, accompanied by proof of the earlier submission.
The Ministry of Development will conduct annual sample checks: 20 percent of companies supported under the 2022 law and 10 percent of those funded under earlier regimes.
The sample may be expanded if inspectors detect signs of non-compliance.
The penalties are described as particularly strict. Under the older laws, fines are imposed for every year a company fails to meet its obligations, with the possibility of multiple inspections. Under the newer regimes, the punishment is a penalty amounting to 0.5 percent of the approved subsidy for each year of non-compliance, collected in line with the country’s public revenue code.
