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The Investment Law of Greece aims to increase liquidity, accelerate investment procedures and ensure transparency.

The Investment Law provides for an efficient institutional framework for all investors and speeds the approval process for pending, approved investment projects.

This Law, 4146/2013 �Creation of a Development Friendly Environment for Strategic and Private Investments,� of the Ministry for Development, Competitiveness, Infrastructure, Transport and Networks, aims at modernising and improving the institutional framework for private investments, subject to investment laws. New Provisions are introduced regarding:

A) Provision of Liquidity and Acceleration of the grant disbursement procedures:
�Option for 100% (increased from 50%) advance payment of the grant with a letter of guarantee
�The investor may chose the preferred mix of the Investment Law benefits (tax-relief or grant) for investments up to � 50 million, to enhance the flexibility of financing for �Small� and �Medium� * investors.
�Tax-relief may be up-front, to enhance both the liquidity of companies and their viability.
�Investors who apply for the benefits of the Law may cover the requirement for a minimum 25% own capital by using company liquefiable assets.
�Sectors of entrepreneurship to be supported through the Law are expanding.
�The previous time limitation for the submission of investment plans, only in April and October, is abolished. Submissions may be made throughout the year.

* Investor�s size as per EU definition

B) Enhancing Transparency and Auditing Procedures of the Investment Law:
�To enable the immediate closure of pending audits and the disbursement of outstanding installments, the Law provides to have interim and final audits performed by certified private sector institutions, such as banks and accounting firms.
�For Photovoltaic Parks approved for grants, in which the rated power is not to be the same as the original proposal, but does not vary more than 10% than the amount approved, a special request for changing supplier or equipment is no longer required.
�Due to the economic crisis, a one-year extension is provided for the completion of the investment plans that have been applied for under the Investment Law from 2007 onwards and have been approved.
�To enhance transparency for large investment projects, the budget of projects that need to be ratified by Parliament is reduced to � 50 million, from � 150 million.
�Establishment of an independent Auditing Department of Private Investments to continuously monitor compliance with the procedures governing the grants of business plans, and to combat both delinquent and unlawful behaviours. The Department, which will report directly to the Minister for Development, Competitiveness, Infrastructure, Transport and Networks, will also have a consulting role, since through its findings any malfunction of procedures will be identified.

Target Group
Investors with projects that address local needs or capitalise on local competitive advantages

Target Group
Enterprises that invest in innovation and want to upgrade their technology infrastructure

Target Group
Investments with a budget of at least 50 000 000 Euro (Fifty million Euro)

Target Group
Companies legally formed at least five years previous to application, to implement integrated multi-annual (2-5 year) business plans with a budget of at least EUR 2 000 000 in total (Two million Euro)

Target Group
Partnerships and networking configurations or clusters. These clusters shall be comprised of at least five enterprises in the Region of Attica and the Thessaloniki Prefecture and of at least three enterprises in other prefectures, operating in the form of a consortium.

Types of Aid
a. Tax relief�Tax relief comprising exemption from payment of income tax on pre-tax profits which result, according to tax law, from any and all of the enterprise�s activities.
b. Subsidy�Gratis payment by the State of a sum of money to cover part of the subsidised expenditure of the investment
c. Leasing subsidy�Includes payment by the State of a portion of the installments paid under a leasing agreement executed to acquire new machinery and/or other equipment
d. Soft loans by ETEAN (National Fund for Entrepreneurship and Development). The amount to be covered by a bank loan may be funded by soft loans from credit institutions that cooperate with ETEAN enterprises.

The aid referred to above shall be aggregated for the purpose of determining the total amount of aid allocated to the investment project. In this case the benefit of the funding above is included in total aid, which may not exceed the limits delineated on the Regional State Aid Map.

Regional State Aid Map and Aid Rates for Each Prefecture

Region	Prefecture	zone	Percentage of aid Large enterprises	Percentage of aid Medium-size enterprises	Percentage of aid Small and micro enterprises
South Aegean	Cyclades	C	15%	25%	35%
	Dodecanese	C	15%	25%	35%
Sterea Ellada	Fthiotida	�	15%	25%	35%
	Fokida	�	20%	30%	40%
	Evia	�	15%	25%	35%
	Viotia	�	15%	20%	25%
	Euritania	C	20%	30%	40%
Central Macedonia	Thessaloniki	�	30%	35%	40%
	Halkidiki	�	30%	35%	40%
	Kilkis	C	30%	40%	50%
	Pella	C	30%	40%	50%
	Imathia	C	30%	40%	50%
	Pieria	C	30%	40%	50%
	Serres	C	30%	40%	50%
Western Macedonia	Grevena	C	30%	40%	50%
	Kozani	�	30%	35%	40%
	Florina	C	30%	40%	50%
	Kastoria	C	30%	40%	50%
Attica	Attica	�	15%	20%	25%
Thessalia	Larissa	�	30%	35%	40%
	Magnissia	�	30%	35%	40%
	Karditsa	C	30%	40%	50%
	Trikala	C	30%	40%	50%
Ionia	Corfu	C	30%	40%	50%
	Lefkada	C	30%	40%	50%
	Kefallinia	C	30%	40%	50%
	Zakynthos	C	30%	40%	50%
Crete	Heraklion	�	30%	35%	40%
	Hania	�	30%	35%	40%
	Lassithi	�	30%	35%	40%
	Rethymnon	�	30%	35%	40%
Peloponnese	Lakonia	C	30%	40%	50%
	Messinia	C	30%	40%	50%
	Korinthia	�	30%	35%	40%
	Arkadia	�	30%	35%	40%
	Argolida	�	30%	35%	40%
North Aegean	Mytilene	C	30%	40%	50%
	Chios	C	30%	40%	50%
	Samos	C	30%	40%	50%
Eastern Macedonia/Thrace	Kavala	C	40%	45%	50%
	Xanthi	C	40%	45%	50%
	Rodopi	C	40%	45%	50%
	Drama	C	40%	45%	50%
	Evros	C	40%	45%	50%
Ipiros	Ioannina	C	40%	45%	50%
	Arta	C	40%	45%	50%
	Preveza	C	40%	45%	50%
	Threspotia	C	40%	45%	50%
Western Greece	Achaia	C	40%	45%	50%
	Etolo-Akarnania	C	40%	45%	50%
	Ileia	C	40%	45%	50%

What is ETEAN?
ETEAN is Greece�s new national fund to support enterprises, particularly small, medium, and innovative enterprises. ETEAN operates as a Soci�t� Anonyme in order to provide leverage financing, through revolving debt, bank guarantees and counter guarantees, joint ventures and equity participation.

ETEAN does not deal directly with businesses. Businesses contact partner banks, which are selected by ETEAN through an open international tender.

ETEAN is designed to improve the access of finance to enterprises for their development, to help create new enterprises, to enable and enhance productivity, and to facilitate the entry of new products and services to market.

ETEAN is co-funded by the Operational Programme �Competitiveness and Entrepreneurship� and other NSRF programmes, supported by the European Regional Development Fund and the European Fisheries Fund.

How does ETEAN work?
Under the ETEAN umbrella, funds are created for green development, entrepreneurship, outward-oriented business activities, fisheries, agricultural development, and social entrepreneurship.

For every Euro the state guarantees, the banks shall guarantee two. The capital is available to firms in the form of friendly and soft loans, through the banks.

With guarantees from ETEAN, enterprises may borrow total secured business loans with significantly less collateral than normally required by banks without the ETEAN guarantee.