A national mechanism is being established for the control of foreign investors wanting to venture in Greece — Which areas and sectors are covered

The Ministry of Foreign Affairs has proposed a bill to Parliament aimed at establishing a national framework to monitor foreign direct investments, focusing on national security and public order.

This initiative, spearheaded by Georgios Gerapetritas, was detailed to the Committee on National Defense and Foreign Affairs by Deputy Tassos Hatzivasileiou.

The new framework aims to safeguard against harmful investors attempting to take control of businesses and critical infrastructures essential to the nation.

The proposed mechanism addresses three key areas:

• Essential sectors, including defense, energy, transportation, digital infrastructure, cybersecurity, and artificial intelligence.
• Port and critical subsea infrastructure.
• Tourist infrastructure in border areas, like Thrace and the Northeast Aegean islands, prompted by concerns from Members of Parliament regarding rising Turkish investments.

The bill introduces the Interministerial Committee for Foreign Investment Control (ΔΕΕΑΞΕ), which will be made up of general secretaries from relevant ministries. This Committee will provide recommendations, but the final decision rests with the Minister of Foreign Affairs, who has the authority to approve, reject, or impose conditions on any investment.

A decision must be made within 60 days following the recommendation; if not, the investment is automatically deemed approved.

A key aspect of this initiative is the identification of the ultimate investor to prevent obfuscation through intricate corporate structures. The bill does not discriminate against investors based on nationality but seeks to ensure transparency regarding the sources of funding.

This national effort complements the existing European Regulation 2019/452, which permits collective oversight of investments when requested by at least nine EU member states. However, the effectiveness of the European system is limited, as seen in the challenges faced in monitoring the acquisition of the Italian Piaggio by the Turkish Baykar.