Development Minister Takis Theodorikakos highlighted the strategic importance of Greece’s pharmaceutical industry in boosting productivity, competitiveness and the outward orientation of the Greek economy, speaking at the Annual General Meeting of the Panhellenic Union of Pharmaceutical Industry.
He said the pharmaceutical industry was a key ally in efforts to transform the economy’s productive base, as it combines manufacturing with research and innovation, creates well-paid jobs and helps protect human life and public health.
The Development Minister first discussed the importance of artificial intelligence and new technologies, as Greece inaugurated the Daedalus supercomputer in Lavrio. He stressed that innovation and artificial intelligence are rapidly reshaping production and the economy, and expressed hope that harnessing them would contribute to the progress of the economy and humanity.
Turning to the pharmaceutical industry, he congratulated companies in the sector for their contribution to research, innovation and production. Greece’s pharmaceutical industry, he noted, has 51 production facilities and 31 research units, and employs 55,000 people, making it an important pillar of the Greek economy and the European pharmaceutical industry. He particularly highlighted the production of innovative medicines and products that contribute to health, quality of life and public safety.
Mr Theodorikakos stressed that fiscal credibility, restoring confidence and reducing public debt were necessary prerequisites, but not enough to ensure long-term growth. A key challenge remains the large trade deficit, which, he said, is a structural problem that must be addressed by raising productivity and strengthening the economy’s outward orientation. Against this backdrop, transforming the economy’s productive base and strengthening industry are crucial, particularly as the country looks beyond the Recovery Fund.
He noted that in recent years the country’s growth trajectory had been linked both to funding from the Recovery Fund and to a significant fall in unemployment, from 18% to 7.5%. Further reducing unemployment, he said, remains a goal, but will not be easy. For that reason, sustaining strong growth will depend increasingly on investment and improvements in business productivity. He also stressed that Greece must maintain a clear growth strategy to protect what has been achieved and safeguard social cohesion in a particularly volatile European and international environment.
On the Development Law, he stressed that the focus of state support had changed substantially. Until 2024, about 90% of support was directed to tourism businesses; manufacturing is now the priority.
He clarified that tourism would continue to receive support, but with a focus on less-developed areas where the potential for sustainable growth is demonstrated, based on specific criteria and studies. The aim is to direct public funds where they can create genuine added value for the economy.
He placed particular emphasis on speeding up the assessment of investment plans. The commitment to complete assessments within 90 days is being met, he said, with strictly predefined criteria and transparent procedures to ensure legality and equal treatment of investors. He stressed that investment eligibility must be determined solely on the basis of the stipulated requirements.
He also noted that the Development Ministry was providing practical support to the pharmaceutical industry through financing tools and research and innovation initiatives. Under the 2022 development laws, strategic investments by pharmaceutical companies have been approved, with a total budget of €235 million.
Mr Theodorikakos said the Development Ministry’s plans provided for new, successive calls for manufacturing projects every year, with a budget of up to €150 million for each scheme, the maximum level permitted under EU regulations. Of this amount, €75 million would be in grants and €75 million in tax relief.
This policy will continue, with investment plans assessed within 90 days, giving the market a clear picture of the government’s priorities. The aim is to provide systematic support for Greek industry, and the pharmaceutical industry in particular, while encouraging investment that links research and innovation with new, market-ready products and greater competitiveness.
At the same time, the Development Minister announced plans for reform to establish clear, specific criteria for classifying an investment as strategic or flagship. As he explained, the classification should reflect both the size of the investment and its substantive contribution to the productivity of the Greek economy and the business itself. Applied research, innovation and the investment’s overall impact on the economy would also be taken into account. The initiative is being developed in consultation with the Association of Industrialists and the PEF.
In closing, he stressed the importance of cooperation between the government and Greece’s pharmaceutical industry, saying: “The pharmaceutical industry is a key ally in efforts to transform the productive base of the Greek economy. Our aim is to boost investment, raise productivity and support businesses that invest in research, innovation and production.
With clear rules, transparent procedures and a consistent growth strategy, we can create more opportunities for businesses and workers, for the benefit of the Greek economy and society”.