ECONOMY

Major roadblock to highway construction projects

The European Court of Auditors could torpedo the concession contracts for some of the country’s biggest public-private partnerships.

The institution argues that the additional contribution of the state to four highways, totaling 1.1 billion euros, should not be subsidized by the European Union community support framework, known in Greece as ESPA.

If the court presses the issue it will force the state to cover the EU’s share of the financing, which amounts to 95 percent or 1 billion euros, at a time when it cannot even cover its own 5 percent.

A team of Finance Ministry experts flew to Luxembourg a few days ago in a bid to avert a decision that could represent a big blow for the country.