Whilst we all appreciate that the economic recovery is the only way to solve the problems of Greece’s deficit and debt, the Greek government is not in a position to absorb the approved capital from European subsidiaries for two reasons:

By Grigoris Nikolopoulos

Firstly, because bureaucracy makes it very difficult, if not impossible, to obtain the required documentation, and σecondly, because the State lacks the money to pay its participation which amounts to 5% of the total investment.

This results in the much needed investments not taking place and the NSRF resources going to waste.

The question is whether Mr. Raichenbach who is in charge of Greece’s economic recovery, is able to make two changes; one in the Greek public sector and one in Brussels.

With regards to the public sector, Mr. Raichenbach should propose ways in which to reduce bureaucracy and simplify provisions pertaining to investments. As he is free of the public sector’s constraints that face Greek citizens’ every action, Mr. Raichenbach can see the issue with a clear vision which undoubtedly, no Greek politician possesses.

Mr. Raichenbach’s intervention with Brussels and Mr. Olli Rehn will also be necessary. The status of the grants themselves will also have to be changed. Instead of the government’s participation – which doesn’t exist - the investment be financed through private investment. In other words, the 5% represents the participation of 3^rd parties who also gain 5% of the investment’s shares.

It is obvious that if an investment is actually approved for funding from Europe, private investors will come forward who will participate in the funding with a very low 5%.

In this way, private funds will be invested and foreign capital will flow into Greece. Most importantly, some investments that are necessary for Greece’s recovery will then begin.