[AMNA]
Greece will set up its own national investment fund, contributing 300 million euros as seed capital.
Its role will be to co-invest with other private funds and financial institutions in dynamic and outward-looking areas where there are investment gaps, such as the green transition, circular economy and blue economy, strengthening the developmental character of the Superfund and contributing to Greece’s growth, without competing with existing funds. The European Investment Bank has already expressed interest.
The fund, which has hired BlackRock as a consultant, would operate within the broader Superfund framework, with the final bill due to be introduced in Congress by July, with the changes it brings about starting in early 2025.
The initial capital of the new National Investment Fund, 300 million euros, will come from the state’s contribution to the Superfund as part of the return of the EYDAP and EYATH shares to the state. As the entire Superfund portfolio remains a quasi-guarantee of loans Greece received from the European Union, the Prime Minister had already announced the decision to withdraw the water companies from the Superfund in 2019, which also involved negotiations with the institution, and which, after the valuation of the shares with independent consultancy materials, ultimately resulted in an amount of 600 million euros. This amount, which will be funded from the state budget, will be contributed to the Superfund, 300 million euros will be used to repay the country’s external debt, and the remaining 300 million euros will be the initial capital of the new National Investment Fund. These details were revealed on Tuesday by Minister of National Economy and Finance Kostis Hatzidakis, who explained that the fund will be operated similarly to its counterparts in other European countries.
The fund will only be allowed to participate if other investors also participate, and can invest in both stocks and hybrid securities such as convertible bonds.
