ECONOMY

Firms to vie for piece of pie

Businesses across most of the Greek economy will seek to benefit from the recovery plan

firms-to-vie-for-piece-of-pie

A huge array of companies are vying for a slice of the pie that the resources of the Next Generation EU fund constitute, as the private sector is eager to make the most of the dozens of projects included in Greece’s recovery plan, presented on Wednesday.

Among those expecting to benefit from the wave of subsidies are businesses in the sectors of construction and energy, the broader information technology domain, companies in cable production, telecommunication services, engineering, electrical and other equipment, agricultural machinery, vehicles and construction materials, as well as consultancy, education and training groups, and even those active in the construction of satellites and the digitalization of written documents.

Out of the sum of 30.91 billion euros in the “Greece 2.0” government program’s budget, €6.026 billion will finance the green transition, €2.1 billion the digital transition, €5.2 billion will go toward employment, healthcare, education and social protection, and €4.8 billion to the transformation of the economy. Another €12.7 billion will be in the form of loans for subsidizing private projects.

A closer reading of the actions included in the government blueprint for the green and digital transitions reveals the major involvement of the construction sector: Besides the big highway and railway projects, with a total budget of €1.9 billion, construction companies are set be involved in dozens of other projects.

Construction firms, food and agricultural enterprises and IT businesses are set to benefit from the €600 million to be invested in the modernization of farming and agriculture. The telecoms sector is going to share with the relevant domains funds of €500 million for the modernization of networks and services of civil protection and the state as well as the rollout of 5G networks along the country’s highways.

The energy sector also expects a windfall, as the budget for its projects runs up to €450 million, which will be used to develop energy storage facilities, underground electricity cables etc.