NEWS

Funds suspended, not withdrawn, says gov’t

The European Union has not decided to cut funding to Greece for interregional cooperation programs, but has temporarily suspended processing payment applications until Greece assures the EU its monitoring and management systems are up to standards, Deputy Economy Minister Christos Folias declared yesterday. Folias, the minister responsible for EU funds, was referring to a letter from Graham Meadows, head of the European Commission’s Directorate-General for Regional Policy, part of which was published in the Saturday edition of daily To Vima. The letter makes it clear this is a temporary suspension of funds, which, however, could become permanent should Greece’s procedures for monitoring the use of funds fail to satisfy the EU. Folias says the government will respond to the EU by next month.