The Greek government is introducing the term “deliverable” into Greek legislation, establishing specific timetables for the implementation of strategic investments in order for investors to remain and avoid being expelled from a favourable investment framework.
More specifically, draft legislation tabled in Parliament by the economy ministry in a bill on the creation of a Development Bank introduces the term in the monitoring of a project’s development and stresses that if deadlines and commitments made by an investor are not met, the investment will cease to be considered strategic. This means that approved investment incentives will be revoked, while any fees will not be returned.
The draft legislation envisages fines of up to 5.0 pct of the total investment cost, to be imposed by an Interministerial Commission for Strategic Investments when a strategic investor fails to meet agreed commitments. Greek authorities could also resort to arbitration to resolve any disputes with the investor. The legislation offers tax-exemptions, a stable tax regime and favourable taxation to foreign executives working on strategic investments in Greece.