The General Secretary of Public Investments and NSRF, Dimitris Skalkos, speaks today to “P” about the transformation of the Greek economy that the new program is expected to bring, boosting the GDP by 100 billion euros and with 125,000 new jobs. In this context, the position of Western Greece is also strong, which pin the new programming period 2021-2027 it will have at its disposal total resources of 628 million. euros, increased by 23.6% compared to the current one.
Q: What is the new framework in which the NSRF 2021-27 operates? Where are we today as a country and where are we aiming?
The new NSRF 2021-2027 begins with favorable conditions. I mention the firsts of Greece in the approval of the new NSRF and its new sectoral and regional Programs, the high performance in the absorption of the resources of the NSRF 2014-2020, the appropriate preparation at the institutional/organizational/administrative level, the development of new information systems and management tools. In terms of macro-economic effects, the new NSRF is expected to lead to an increase in GDP in the period 2021-2030 by an additional 31 billion euros, while in the period 2021-2035 by 62.9 billion euros, while creating approximately 125,000 new stable jobs. We can therefore be reasonably optimistic that we will effectively contribute to the recorded dynamic restructuring of the Greek economy as well as to the gradual change of our production model in the direction of a competitive, environmentally sustainable, resilient and inclusive economy.
Q: What will be the role of local authorities in the implementation? What is the position and prospects of the Region of Western Greece in the implementation of the NSRF 2021-27?
The Region of Western Greece has made significant progress while continuing to have significant comparative advantages to exploit. In the new programming period 2021-2027, the Regional Program (RP) of Western Greece has at its disposal total resources of 628 million. euros, increased by 23.6% compared to the current programming period. The utilization of these resources in actions to promote regional entrepreneurship, the rational management of water and wastewater, civil protection (flood protection projects, etc.), social integration and development and spatial investments, will strengthen the prospects of Western Greece.
The role of local authorities is absolutely critical both in the planning of integrated actions that respond to the particular needs of local economies and societies, and in their implementation. It is therefore necessary to strengthen their institutional, administrative and managerial capacity through targeted technical assistance to the weak beneficiaries, where this is required.
Q: What can small and medium businesses expect from the program? Do small businesses have a place?
NSRF was and remains the main financial tool to support small and medium entrepreneurship. I would like to mention that in the current programming period 2014-2020 up to now, 264,812 companies have been supported, of which 87.5% concern very small, 10.3% small and only 2.23% medium-sized companies. NSRF is, let me say, the home of SMEs.
I also consider it important to note that in the period of the pandemic resources were mobilized through the NSRF which, together with the leveraging of private resources, exceeded 14 billion euros, resources which contributed decisively to the strengthening of businesses and the support of employment to deal with the economic impact.
In the new programming period 2021-2027 we aim to strengthen the extroversion of small and medium enterprises, the adoption of innovation, the promotion of synergies between them. We now have a new national smart specialization strategy, new financial tools and increased resources in order to harness and strengthen the growth potential of the country’s small and medium-sized enterprises. The first actions for the digital transformation and the green transition of small and medium enterprises with a total budget of one billion euros have already been announced.
Q: In an environment that is rapidly changing through successive crises, what are the main problems, priorities and challenges for the new programming period?
It is a fact that European economies and societies are moving in an environment of increased uncertainty. “Key” to dealing with the observed mega-trends (climate crisis, technological changes, demographic slowdown, etc.) is the adaptation to the double challenge of the green transition and the digital transformation. The Cohesion Policy could not stay away and predictably sets its policies on strengthening this collective effort, committing the majority of its available resources to the financing of investments and infrastructures that contribute to the long-term sustainable competitiveness of European economies and societies as well as their resilience against in external crises.
The multi-year crisis and its impact
Q: The debate on Cohesion Policy is ongoing. How far are we from convergence? Is the goal achievable?
The debate on Cohesion Policy is justifiably ongoing as it is the main common European policy to limit economic, social and territorial disparities between European regions. Its financial benefits over time are tangible and measurable. As an example, I note that, at the European level and over a fifteen-year horizon, every 1 euro of the Cohesion Policy that is invested creates an additional value of 2.7 euros.
Unfortunately, in recent years a significant deviation has been recorded as the multi-year economic crisis left a heavy mark on the Greek regions, new issues are now emerging such as the worsening of intra-regional inequalities and the entrapment of regions (including Greek ones) in the so-called “development trap” of low growth rates. Thus, in 2014 we were at 72% of the Community average (in terms of purchasing power), in 2019 we fell to 66% and the pandemic dropped us lower to 64%. Today we seem to be back to 69% helped by the high growth rates.
The target was not lost. Sustained high growth rates and efficient use of Community resources can lead us to the desired convergence. And of course, under the necessary condition that these issues will be at the center of the priorities of the European governments that they are called to plan based on the principles of balanced development and solidarity, as has happened repeatedly in the past. Discussions starting in this period both on Cohesion Policy after 2027 and in the framework of the revision of the Multiannual Financial Framework (MFF) will largely dictate the achievement of the convergence objective.
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