Four bln euros of investments on hold
Investors have submitted to Greek authorities 4 billion euros’ worth of investment plans, or some 2 percent of gross domestic product (GDP), planned to take place in different areas of the country’s tourism industry. A recently adopted law detailing land-planning regulations for tourism-related businesses and the continuing growth rates in the industry are believed to have fueled investor interest despite years of bureaucratic procedures holding plans back. Some of the 4 billion euros of investment plans were submitted to authorities 10 years ago and have yet to reach the construction phase. Apart from complicated and time-consuming bureaucratic procedures, sources said that some plans have been set back by local environmental groups taking legal action against investors and the government. There are a number of cases where environmental groups are disputing the validity of permits issued to investors by the Environment Ministry. Most of the plans regard the construction of residences for visitors, or sites for hotels, golf courses, conference centers and marinas. One of the companies joining the growing waiting list is First Mediterranean Investment, a company controlled by the Logothetis shipping family and the Papista group. Other groups that are awaiting approval include Dolphin Capital Investors and Emerald Developments.
