The Greek government has completed only 53% of the milestones required by the Recovery Fund, raising concerns about its ability to utilize all available resources before the deadline in August.
The Greek government's progress towards meeting the targets set by the Recovery Fund has been disappointingly slow, with only 53% of the milestones achieved to date. This slow progress prompts questions about whether the government can maximize the use of available resources before the fund's validity ends in August this year. Deputy Minister of National Economy and Finance, Nikos Papathanasis, highlighted the achievement of 204 milestones so far and mentioned that the next payment request is being prepared.
Recently, the Ministry of National Economy and Finance announced the submission of a new dual payment request to the European Commission under the Recovery and Resilience Facility. This request is notably lower compared to previous submissions and amounts to €1.17 billion. Out of this total, €883 million concerns grants arising from the 70th request, while €294 million relates to loans associated with the 6th request, indicating a shift in financial strategy as the government attempts to navigate its obligations under the Recovery Fund.
As the clock ticks towards the fund's expiration, the government faces significant pressure to expedite its projects and ensure the funds are spent effectively. The Recovery Fund was established to assist Greece in recovering from the economic impacts of the COVID-19 pandemic, and the current shortfall in milestone achievements raises concerns about the government's capacity to fulfill its commitments. Ensuring efficient use of these resources is critical for supporting national economic recovery and avoiding penalties from European institutions.
