Investment Law 4887/2022
For more than 35 years, the Development Law has been the predominant institutional framework for the provision of state aid to private investment in Greece. The new Development Law 4887/2022 aims to create a more favourable investment climate for entrepreneurship in the country and to further increase the competitiveness of Greek companies.
A key feature of the new Development Law is its sectoral – thematic character, as it provides for the introduction of 13 separate aid schemes, each of which will target and support investment projects in specific sectors. The schemes of the new Development Law are announced in different time periods.
The 13 aid schemes of the new Development Law are as follows:
- Manufacturing – supply chain
- Digital and technological transformation
- Support for tourism investments
- New Business
- Fair Development Transition Regime
- Research and Applied Innovation
- Agri-food; primary production and processing of agricultural products; fisheries and aquaculture
- Business extroversion
- Green transition – environmental upgrading of enterprises
- Alternative Tourism
- Large investments
- European value chains
- Entrepreneurship 360o
Beneficiaries
Beneficiaries of the aid under the schemes of this Development Law are enterprises that are established or have a branch in the Greek territory at the time the investment project starts and have any legal form other than a sole proprietorship.
Types of Aid
Tax exemption
It consists of exemption from the payment of income tax on pre-tax profits. Thus, the assisted company may, over a period of 3 to 15 years, receive the aid through successive tax reductions. The amount of the tax exemption is calculated as a percentage of the value of the aided expenditure of the investment project.
Cash Grant
It consists in the free provision by the State of a sum of money to cover part of the costs of the investment project.
The subsidy, based on Law 4887/2022, is addressed ONLY to Micro and Small enterprises based on the European Union Regulation.
Financial leasing subsidy (Leasing)
This consists in the coverage by the State of part of the instalments paid for leasing, which is concluded for the acquisition of new machinery and other equipment, is determined as a percentage of the acquisition value and is included in the instalments paid. The subsidy for leasing may not exceed seven (7) years. The period starts from the date of completion of the investment. This incentive covers only the acquisition value of the Fixed Asset (the value of the Debt), not the cost of the Interest.
Subsidy for the cost of the employment created
It consists in the coverage by the State of part of the wage costs of the new jobs created and linked to the investment project, for which no other State aid is received.
Our Services
