Greece prepares for EU funds
Greece will be able to draw on the next batch of European Union funding in January 2007, according to the Economy and Finance Ministry, with areas outside of Athens headed for a 16-billion-euro boost over a seven-year period. Economy and Finance Minister Giorgos Alogoskoufis said yesterday that advance payments on the Fourth Community Support Framework (CSF IV) package can be drawn at the start of next year, with the total package amounting to 20 billion euros for the 2007-2013 period. The payments will start on the condition that there will be no setbacks and that the European Commission will not delay in approving the general guidelines in July, the minister added. The money will focus on six fields that include upgrading labor skills and improving information technology – changes capable of having a positive impact on competitiveness, productivity and job creation. The funding will also help the conservative government deliver some much-needed infrastructure projects to regional areas, some of which are among the poorest in the EU. Alogoskoufis described these regions yesterday as the «neglected» parts of Greece. Previous funding from Brussels largely focused on the country’s capital, particularly in the period before the 2004 Athens Olympics. The inflow of EU funds has been a main factor in keeping the Greek economy among Europe’s strong- est performers and is expected to continue to do so during CSF IV. A joint ministerial committee met yesterday on the 20-billion-euro package and agreed to prepare a draft law in June on programs that can qualify for funding. Deputy Economy and Finance Minister Christos Folias said the government will try to avoid mistakes made in the past and that having fewer recipients will help reduce paperwork. Greek governments have been widely criticized for slow absorption rates in the past due to poor planning and bureaucratic procedures. This has increased the risk of Greece losing some of its funding.
