The Hellenic Federation of Enterprises (SEV) is proposing a new subsidies framework in the context of the new investment incentives bill that the government is processing.
SEV’s proposal is aimed at promoting targeted investments with high added value mainly through tax incentives, given that there are no state finances available. The basic criterion proposed for the concession of subsidies will not only be the creation of jobs but also the preservation of existing employment.
The proposal, which has already been communicated to the competent ministries, political party leaders and the European Commission, assesses the existing extreme divestment situation in Greece and the urgent need for the mobilization of investments amounting to 105 billion euros up to 2020 in order to maintain existing investment.
A key part of the new growth policy that SEV is proposing concerns the replacement of ineffective subsidies and the encouragement of emblematic investments, mainly through tax incentives that do not inflict a fiscal cost on the state coffers. It also stresses the need for a reduction in the social security contributions of employers and employees, which are far above the level seen in other EU states.