Deputy Finance Minister Nikos Papathanasis spoke to ERTnews about the full absorption of loan funds, with the aim of ensuring that not a single euro from the Recovery Fund is lost. As he stated in an interview, the loan component of the Recovery Fund has already been completed with 100% absorption, with total resources of approximately 18 billion euros having been channeled to businesses. “All the money has been spent, the funds have been exhausted, and the loan component has closed with 100% absorption, ” he noted.
Speaking on the program “Connections,” he emphasized that the funds were specific and not unlimited, which explains why several businesses, despite having prepared applications and been in contact with banks, ultimately remained outside the program. “We said from the start that funding would be provided until the funds were exhausted, ” he emphasized, clarifying that the selection of beneficiaries is made by the banking institutions and not by the state.
The process, as he explained, was based on a priority order, with applications being approved as long as funds were available. At the same time, he noted that the state sets only quantitative targets—such as the percentage of green and digital loans—without interfering in the final lending decision.
Looking ahead, Mr. Papathanasis announced that a new “bridge program” is planned to support small and medium-sized enterprises, which will launch after September, with the aim of expanding access to low-interest loans, even for very small businesses.
Regarding subsidies, the deputy minister noted that the country is making strong progress in absorbing funds and aims to complete all projects by the end of August. “Greece is not entitled to lose a single euro,” he stated, adding that there is an option to revise the planning so that funds from delayed projects can be redirected to other mature projects.
As he explained, projects that are not progressing on schedule are being replaced by others, such as digitization initiatives or transportation improvements, to ensure full utilization of the funds. “When a project isn’t moving forward, we replace it with another so the money isn’t lost, ” he said.
Finally, he noted that the eighth payment request, amounting to 3.8 billion euros, is being submitted immediately, while the final request is expected by the end of September, when the Recovery Fund concludes. “We want to conclude the subsidy component with 100% absorption, ” he concluded.
Continuing his interview with ERTnews, Mr. Papathanasis spoke at length about housing programs, emphasizing the progress of “My Home II” and the new renovation program.
As he noted, “My Home II” is in full swing, with more than 14,000 beneficiaries having received approval and over 12,000 having already signed contracts. “Contracts are being signed and homes are being purchased on an ongoing basis, with monthly payments lower than rent, ” he said, highlighting the high level of activity, particularly in the regions.
At the same time, he announced the launch of a new home renovation program, which he described as “the first of its kind in Europe, ” as it is not limited to energy upgrades but also covers aesthetic renovations.
The program applies to homes built before 1990 that have been vacant for at least two years, with eligibility determined based on electricity consumption. The maximum subsidy is set at 300 euros per square meter, while the income limit is 36,000 euros.
Particular emphasis is placed on the subsidy rates, as the subsidy can reach up to 95%, with higher rates for vulnerable groups, such as people with disabilities and residents of mountainous areas.
According to the minister, the process will unfold gradually, starting with vacant properties and expanding in a subsequent phase to owner-occupied homes. The total budget amounts to €500 million and is estimated to cover approximately 25,000 homes.
As he clarified, the eligibility platform is expected to open by the end of May, while applications must be accompanied by an Energy Performance Certificate and building identification details. The final phase of implementation is expected to begin in September, with provisions for faster payments to contractors via a special account.
Regarding small and medium-sized enterprises, Mr. Papathanasis rejected the opposition’s criticism, arguing that the government has already secured financing tools for the future, such as subsidized loans covering up to 40% of the interest rate and state guarantees of up to 80%.
“Over 90% of businesses in Greece are small and medium-sized,” he noted, adding that 60% ofthe Recovery Fund’s loans went to these businesses, while the remainder were allocated to larger investment projects.
In closing, he emphasized that the Recovery Fund has already made a significant impact on daily life, citing, for example, preventive medical screenings, hospital renovations, and the renewal of the bus fleet, and stressing that the effort continues with the aim of boosting incomes and employment.
Finally, when asked about the national elections, Mr. Papathanasis noted that “we can discuss this as much as you like, but the elections will take place in the spring of 2027.”
Source: ertnews.gr