Greece's National Recovery and Resilience Plan, known as "Greece 2.0," has largely failed to boost industry and manufacturing, even though the Pissarides Plan behind it was designed to change the country's production model by strengthening those sectors.
Only 3 of the 176 interventions included in the plan target industry and manufacturing. By comparison, the culture sector alone secured 9 measures. The three industry-related measures are: reform of the legal framework for attracting strategic investments, a project to accelerate smart manufacturing, and a project to build new industrial parks. Other measures touch industry, such as business simplification rules and private-sector loans, but are not exclusively aimed at it.
Only 29 Development Ministry Projects Included
The Ministry of Development, the body responsible for this policy area, managed to include just 29 sub-projects out of a total of 858 projects folded into Greece's Recovery Fund plan. Most of those 29 concern research and innovation, covering bodies such as the Atomic Energy Commission, the National Observatory, the Hellenic Centre for Marine Research and the Athena Research Center. Just 3 of the 858 projects concerned manufacturing and industry directly: New Industrial Parks, Flagship Investments of Exceptional Importance, and Smart Manufacturing.
New Industrial Parks Funding Cut
Of the three, only Smart Manufacturing is progressing well. The New Industrial Parks and Flagship Investments projects have both run into serious problems. A revision last December cut the Recovery Fund's contribution to New Industrial Parks by a third, from about 66 million euros as of November to 44 million euros. Deputy Minister of National Economy and Finance Nikos Papathanasis said the funding gap would be covered by the Public Investment Program. The project, included in the plan in 2021, is run by the Ministry of Development's General Secretariat of Industry and the Growthfund, and aims to build new-generation industrial parks and upgrade existing ones with green and digital infrastructure, including FTTH and 5G networks and renewable energy systems.
Thess-Intec Project Dropped
One flagship project tied to the New Industrial Parks measure, the Thess-Intec technology park in Thessaloniki, was worth 35 million euros and covered civil engineering works needed to build the park in Perea, Thessaloniki. On July 15, 2026, the project was removed entirely from the Recovery Fund plan for failing to meet its timeline. Minister of Development Takis Theodorikakos then announced that ThessINTEC would instead be funded through the ministry's Sectoral Development Program from 2026 to 2030, with total public funding of 30,333,282.64 euros from the National Development Program. The project had secured 35.05 million euros in funding when it was included in the plan in 2022.
Flagship Investments Budget Halved
The Flagship Investments of Exceptional Importance measure offers capital incentives for strategic investments. It was designed in 2021 with a budget of 171.1 million euros, which the Deputy Minister of National Economy recently cut in half. Only five such investments have been included: Intertrade Hellas A.B.E.E.'s expansion of a paper products plant; Olympic Air A.E.'s integrated aircraft maintenance and crew training center; Metlen Energy and Metals M.A.E.'s expansion of its metal structures complex in Volos; BGS Alcohols A.E.'s new ethanol production unit in Patras; and a second Metlen project developing an integrated bauxite, gallium and alumina production line.
Smart Manufacturing the Exception
Smart Manufacturing is the only industrial policy measure to bear fruit. Its budget rose from 75 million to 108 million euros after more funding proposals, mainly from small and medium-sized businesses, were included. The measure funds investment plans through capital grants to upgrade digital production management systems and buy advanced, digitally controlled industrial equipment. It is run by the General Secretariat of Industry with input from the EYDE VEK agency, the Economic Chamber of Greece and the Technical Chamber of Greece.
