Friday November 28, 2014 Search
Weather | Athens
14o C
8o C
News
Business
Comment
Life
Sports
Community
Survival Guide
Greek Edition
Brussels finds way to cover part of the funding gap

Projects such as highways rely on European Commission funding.

By Evgenia Tzortzi

The funding gap created by the extension of the Greek fiscal streamlining program by two years will be partly covered by cutting some 3 billion euros worth of funds from the European Union-subsidized National Strategic Reference Framework.

The loss of funding channeled from Brussels to Athens stems from the increase of EU participation in the subsidy framework to 95 percent, as agreed by the European Commission. This increase is essentially an accounting trick that leads to the reduction of national resources, entailing a cut of the frameworks budget from the current levels of 24.5 billion euros which is the sum of the European and national participation for the 2007-2013 funding period to 21.5 billion euros.

The decision signals the second reduction of the framework and means 3 billion euros less of funding available through what is basically the only instrument for growth the country has.

The European Commission appears to have also agreed to greater participation for the next funding period, from 2014 to 2020, a prospect that has been confirmed by European Commissioner for Economic and Monetary Affairs Olli Rehn.

On the other hand, one positive aspect of the Eurogroup agreement last Monday on the Greek program concerns the increase in funds this country will receive over the next funding period. Athens appears to have secured an estimated 14 billion euros of EU funds aimed at growth, against just 11.2 billion that Greece would have received based on the recent proposals by the president of the European Council, Herman van Rompuy.

The increase in EU funds that was apparently achieved at the recent EU summit will be confirmed in the next meeting of the blocs heads of state and government in early 2013 and should contribute toward the reduction of the Greek public debt by 2.7 percentage points of gross domestic product by 2020 and by 5.2 percentage points by 2022. Greece reportedly secured this increase in subsidies by citing the prolonged recession and its distance from the EU average.

ekathimerini.com , Sunday December 2, 2012 (20:29)  
PPC profits power up in Jan-Sept
Papastratos banking on exports
Saudi group Olayan to enter Costa Navarino
Bank-financed property transactions rise a notch
Seven PASOK MPs voice support for party leader
Seven PASOK MPs on Thursday publicly backed Deputy Prime Minister Evangelos Venizelos and his plans for the party to play a leading role in a broader center-left alliance after ex-leader Geo...
New law could transfer control of unused buildings
Municipalities and private companies may soon get a chance to take over abandoned or empty buildings if a new bill drafted by the Environment Ministry is voted through Parliament. According ...
Inside News
SOCCER
PAOK is one win from Europa Leagues last 32
A late brace by Stefanos Athanasiadis gifted PAOK a precious win at Dynamo Minsk on Thursday, meaning that the Thessaloniki team is one win away from graduating from the group stage of the E...
BASKETBALL
First defeat for Olympiakos in Euroleague
Olympiakos suffered its first Euroleague loss of the season going down 89-70 at Laboral Kutxa on Thursday, although the Greek team remains the favorite to clinch the top spot in its pool. Th...
Inside Sports
COMMENTARY
The presidential election paradox
A few days ago, speaking with a visiting colleague who neither works in Europe nor covers events here, I suddenly felt how much we Greeks take for granted some things that should have worrie...
COMMENTARY
Scraping together the 180 MPs will not be enough
Even if the coalition government was to scrape together the 180-MP majority it needs to elect a new President in the 300-seat House, skeptics say, what will change really? There is one evide...
Inside Comment
SPONSORED LINK: FinanzNachrichten.de
SPONSORED LINK: BestPrice.gr
RECENT NEWS
1. PAOK is one win from Europa Leagues last 32
2. First defeat for Olympiakos in Euroleague
3. PPC profits power up in Jan-Sept
4. Papastratos banking on exports
5. Saudi group Olayan to enter Costa Navarino
6. Bank-financed property transactions rise a notch
more news
Today
This Week
1. Greece paralyzed by major strike, flights cancelled
2. Greek diplomat dies in fall under Thai train
3. Greece scrambles to find food, shelter for 700 migrants on crippled ship
4. Chief suspect in Piraeus bar shooting arrested
5. Scraping together the 180 MPs will not be enough
6. Troika talks to continue after failure to wrap up negotiations in Paris
Today
This Week
1. Give Greece a chance
2. Scientists expand excavation of ancient Amphipolis
3. Extremism from a bygone era
4. Greece paralyzed by major strike, flights cancelled
5. Piraeus nightclub shooting leaves 3 seriously injured
6. Coscos Greek unit adds multinational rail-freight client
Find us ...
... on
Twitter
... on Facebook
About us  |  Subscriptions  |  Advertising  |  Contact us  |  Athens Plus  |  RSS  |   
Copyright 2014, H KAΘHMEPINH All Rights Reserved.