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escrow account

According to taxheaven, Deputy Minister of Economy, Development and Tourism, Alexis Charitsis signed the Ministerial Decision which regulates the conditions for the creation and application of the Escrow Account in cooperation with the Deposits and Loans Fund.

It is a mechanism that ensures that the beneficiaries of the NSRF programs have access to an amount equal to the advance they are entitled to, without requiring the submission of a letter of guarantee. In particular, on the escrow account, and solely on behalf of the beneficiaries of the National Strategic Reference Framework, an amount equal to the advance payment to which they are entitled is credited, which is gradually released for the repayment of the invoices of their suppliers.

This arrangement no longer requires investors to proceed with the implementation of their investment plan with absolute self-financing. This reduces substantially the liquidity requirements of the beneficiaries for the implementation of their investment plans.

“This was, moreover, one of the reasons for increased investor interest in the new NSRF entrepreneurship actions that led us to move ahead with extending the deadlines for submitting business plans and increasing the available budgets. The Open Trust Account is a measure of substance to create a more favorable investment environment and is expected to lead to increased liquidity and stimulating business activity, contributing to the growth of the economy, “said Charitsis.