AGP Executive Report

UAE Investment: Greece and the UAE signed agreements worth €12.75bn, while Abu Dhabi announced plans for a further €15bn in Greek investment over five to eight years. Projects include exploring AI infrastructure with G42. Public Finances: Greece’s public debt fell by nearly €10bn in the second quarter, and the state recorded a €7.59bn primary surplus in January–September. Jobs and Wages: Employment is growing, but productivity and wages continue to fall, raising questions about the quality of the recovery. Tourism and Property: Greece welcomed 28.5 million visitors in the first eight months of 2026, while short-term rental listings have dropped by thousands as new restrictions deter owners. Corporate and Legal Affairs: A Dutch court ordered Heineken to pay €111m to Greek brewer Macedonian Thrace Brewery over market abuse; separately, Pizza Fan’s owner and employees were arrested in an alleged €25m VAT fraud investigation.

UAE Investment: Greece and the UAE announced 18 agreements and commercial partnerships worth €12.75 billion, spanning energy, technology, transport and healthcare. Abu Dhabi also signalled plans for a further €15 billion in Greek investments over the next five to eight years. Growth and Wages: A new study warns that job creation and economic growth are not translating into stronger productivity or pay: labour productivity fell 16.1% and real wages 34% between 2009 and 2023. Public Finances: Greece’s public debt fell by nearly €10 billion year-on-year in the second quarter, while the government recorded a €2.5 billion primary surplus for January–September. Property Market: Home prices rose 7.7% in the first nine months of 2026, but affordability remains strained, with rent taking an average 53% of a two-adult household’s income in Athens. Corporate News: Heineken was ordered to pay €111 million to a Greek rival over market abuse; meanwhile, Faria Renewables inaugurated a 134MWh battery storage system in Greece.

UAE Investment: Abu Dhabi Crown Prince Sheikh Khaled’s Athens visit has put a three-year cooperation deal, 15 agreements and plans for €10 billion in construction projects in focus, alongside wider energy, technology and investment ties. Cross-Border Funding: Greece and Bulgaria signed €33.4 million in EU-backed agreements for 21 projects spanning green transition, education, environmental protection and sustainable tourism. Energy Storage: Faria Renewables opened a 134MWh battery-storage facility, adding capacity as Greece seeks to expand storage alongside renewable power. Business & Regulation: Heineken must pay €111 million over abuse of the Greek beer market, while the owner and employees of delivery chain Pizza Fan were arrested in a separate €25 million VAT-fraud investigation. Shipping Finance: Euronext plans to scrap share-sale tax for three Greek shipping companies, as maritime listings attract investor interest. Regional Tensions: The EU condemned Libya’s approval of a maritime deal with Türkiye as “null and void”; Athens says it threatens Greek island rights and could affect access to Eastern Mediterranean resources.

Competition: Heineken was ordered to pay Greek brewer Macedonian Thrace Brewery €111.2 million over Athenian Brewery’s alleged abuse of its market position; the company plans to appeal. Sanctions Risk: The US sanctioned Panama- and Greece-based law firm Karnakis and Karnakis over alleged links to Iranian shipping networks and is investigating an unnamed Greek bank. Economic Indicators: Greece’s current-account surplus reached its highest level since 2015, while supermarket sales rose 6.4% in the first nine months of 2026. Shipping Finance: Capital Maritime Finance raised €300 million in an Athens listing that attracted €1.08 billion in orders. Cost Pressures: Greek wholesale electricity prices hit a level unseen since 2023, adding to pressure on households and businesses.

Eastern Mediterranean: Libya’s eastern parliament has approved a disputed maritime pact with Turkey that could open waters near Crete and Rhodes to resource exploration. Greece and the EU reject the move, raising fresh uncertainty for regional energy projects. Cost Pressures: Nationwide student, teacher and public-sector protests have put living costs, housing and education funding in the spotlight. A separate poll found nearly three-quarters of Greeks believe the government is failing to curb prices. Shipping Finance: Capital Maritime Finance raised €300 million in an oversubscribed Athens IPO, the country’s largest maritime share offering, as it plans to expand its container fleet. Energy and Retail: Wholesale electricity prices have surged, threatening higher winter bills, while supermarket turnover rose 6.4% in the first nine months of 2026. Tourism: Greece remains a leading short-haul choice for UK holidaymakers, as October half-term bookings through Advantage agencies increased 8% year on year.

Eastern Mediterranean: Libya’s eastern parliament approved the disputed 2019 maritime deal with Türkiye, prompting Athens to reject it as illegal. The dispute could affect offshore energy exploration and regional investment. Household Costs: Greek shoppers are prioritising low prices as living costs bite: a new survey found 74% manage their finances with difficulty or extra caution, while 57% worry about income keeping pace with expenses. Wholesale electricity prices have also hit their highest level since 2023, and a fresh food-price surge is forecast for 2027. Technology Investment: Greece inaugurated its DAEDALUS supercomputer in Lavrio, aiming to boost research and establish a foothold in Europe’s AI race. Energy Infrastructure: New undersea cables have connected Folegandros to the mainland grid, a project backed by EU and European Investment Bank financing that is expected to strengthen supply and reduce generation costs.

Energy Costs: Greece’s wholesale electricity price surged to €247.82/MWh, its highest since 2023, as rising gas prices threaten to lift winter bills for households and businesses. Public Finances: The Bank of Greece reported a €2.5 billion primary budget surplus for January–September. Tax Competitiveness: Greece ranked fifth in the OECD for personal taxes but 23rd overall, with high VAT and property taxes weighing on its score. Research Investment: Prime Minister Kyriakos Mitsotakis inaugurated a new research building at Demokritos, linking investment in knowledge and computing power to Greece’s ambitions in artificial intelligence. Hotels and Shipping: Vassilicos House of Hospitality has invested more than €10 million in Patras’ renovated Mercure Astir, while Capital Tankers secured $930 million in financing for 11 new crude carriers. Euroseas also fixed a feeder ship at more than double its previous daily rate and agreed to sell its sister vessel for $26 million.

AI Infrastructure: Greece inaugurated the €58.9 million Daedalus supercomputer in Lavrio, aiming to boost research and AI development. Ranked 31st globally at 85.69 petaflops, it is expected to begin services in December. Pharmaceuticals: The government is targeting major European hub status, backing an industry plan for €1.8 billion in investment by 2028, including 10 factories, 14 research facilities and 5,500 jobs. Defence Industry: Intracom Defense named Michalis Tsamaz chairman and Lykourgos Antonopoulos CEO as it seeks to expand internationally. Agriculture: Greece paid €32.34 million in CAP support, including funding for beekeepers, wine producers and farm investment projects. Property: In Attica, €1 million buys about 140 square metres in a new-build Kifisia apartment, while older maisonettes can offer substantially more space for a similar price.

Digital Investment: Greece inaugurated the €58.9 million Daedalus supercomputer in Lavrio. Ranked 31st globally, it will provide computing power for AI, research and data projects at universities, startups and businesses. Agriculture & Trade: Greek wine production is forecast to rise 1.2% to 1.67 million hectolitres in 2026/27, though growing stocks in Italy and Spain could pressure European prices. Transport & Tourism: Chios airport is due to close from November 15 to March 15 for runway upgrades. The local chamber warns the shutdown will disrupt travel and hurt the island economy. Infrastructure & Hospitality: €85.5 million in EU-backed funding will support western Thessaloniki rail links and a connection to the port’s sixth pier. In Patras, the renovated Astir hotel has reopened as a 116-room Mercure after an investment of more than €10 million. Economic Outlook: Greece recorded a €7.59 billion primary surplus in January–September, while September inflation reached 5.1%. The IMF projects 1.8% growth in 2026 and 2027, but sees a weaker outlook and higher inflation ahead.

Exports: Greek spirits exports were nearly flat at €52.3 million in the first half of 2026, but sales outside the EU rose 3.8% as new markets gained ground. Investment: Attica captured 79% of Greece’s new foreign investment projects, while global investors are eyeing battery storage despite grid bottlenecks that threaten expansion. Public Finances: Greece posted a €7.59 billion primary surplus through September; the IMF projects 1.8% growth in both 2026 and 2027, even as analysts warn the investment boom is not yet delivering stronger growth. Tourism: Businesses are being urged to improve accessibility across the full visitor experience, a potential growth opportunity for Greece’s tourism sector. Energy: Greece is pressing the EU for lower energy costs and more room for household support, as leaders remain divided over energy measures and future carbon charges.

Energy Support: Mitsotakis says Greece’s proposals on EU fiscal flexibility are gaining traction as the government raises heating support and temporarily cuts fuel prices to cushion households and businesses. Battery Investment: Greece has just 800MW of installed battery capacity despite a 27GW project pipeline; grid bottlenecks threaten to slow a storage boom attracting global investors. Housing: Riviera prices have surged to €14,000–€29,000 per square metre in Vouliagmeni, putting prime homes further out of reach for local buyers. Public Finances: Greece recorded a €7.59bn primary surplus in January–September, while the IMF forecasts 1.8% growth in 2026 and 2027 and a continued fall in public debt. Borrowers: New rules for non-performing loans bring interest caps and a tougher approach to foreclosures.

Household Support: Athens is preparing winter relief as energy costs climb, including fuel-subsidy rounds in November and December, a rent rebate and a €400 payment for pensioners on Nov. 30, and a heating allowance expected to rise 30% on Dec. 23. Dates and amounts remain provisional. Public Finances: Greece recorded a €7.59 billion primary surplus in January–September, even as a new report warns that strong investment is not translating into faster economic growth. Growth and Prices: The IMF sees weaker growth and higher inflation through 2027; inflation reached 5.1% in September. Finance and Shipping: Greek banks are earning higher lending margins than European peers, while a Marinakis-backed shipping IPO drew €1.08 billion in orders and raised €300 million. Trade: Greek exports rose 16.5% as the trade deficit narrowed.

Tax Probe: European prosecutors froze Greek property and vehicles linked to an alleged €115.5 million VAT fraud involving smartphone trading across several countries. Public Finances: Greece posted a €7.59 billion primary surplus for January–September, beating its target on stronger tax receipts and controlled spending. Borrower Relief: A draft law would cap claims on overdue loans at two or three times the original principal and curb excessive interest; consultation runs until October 22. Banks: Greek lenders outperformed European peers on lending margins and profitability, according to ECB data. Growth and Prices: September inflation reached 5.1%, while IOBE held its 2026 growth forecast at 1.8% and lowered its outlook for 2027, warning that investment is not yet delivering stronger growth. Shipping: A Marinakis-backed container firm raised €300 million in an oversubscribed Athens IPO.

Shipping & Markets: Evangelos Marinakis’ Capital Maritime Finance raised €300 million in an Athens IPO, with investor orders topping €1.08 billion. It will be the first shipping company listed exclusively on Euronext Athens’ regulated market. Cost of Living: Greece’s inflation reached 5.1% in September, while the IMF sees growth at 1.8% in 2026 and warns of continued pressure on the economy. Energy: Mitsotakis urged EU leaders to lower energy costs and delay new carbon charges, but the summit ended without agreement. At home, Metlen and Karatzis inaugurated a 330 MW battery facility in Larissa. Public Finances: Greece recorded a €7.59 billion primary budget surplus through September, beating its target.

Inflation and Growth: Greek inflation reached 5.1% in September, above the eurozone’s 3.8%. The IMF expects growth of 1.8% in both 2026 and 2027, and inflation to average 4.2% this year. Energy Costs: At the EU summit, Greece backed calls for temporary support for households and businesses and a delay to the bloc’s planned carbon charges. Leaders urged coordinated action, but left key energy and emissions questions unresolved. Shipping and Markets: Capital Maritime Finance’s Athens IPO drew €1.08 billion in orders—more than four times its original target—and raised €300 million. Shipping magnate George Vardinoyannis, a prominent figure in Greek business and sport, has died aged 90. Public Finances: Greece posted a €7.589 billion primary budget surplus through September, beating its target.

Restaurant Expansion: Canada’s Recipe Unlimited agreed to acquire Evergood, the Greece-based operator of more than 575 Goody’s, Everest and other outlets. The deal still needs regulatory approval. Public Finances: Greece recorded a €7.589 billion primary surplus in January–September, above the €5.129 billion target but below last year’s result; delayed payments account for part of the apparent overperformance. Energy Investment: Metlen and Karatzis inaugurated a 790MWh battery storage facility, while draft legislation would require data centers to source 60% of their power from renewables. EU leaders ended budget and energy talks without agreement, leaving future funding plans uncertain. Economic Outlook: The IMF forecasts Greece will grow 1.8% in both 2026 and 2027, faster than the eurozone, and sees public debt continuing to decline.