The reinforcement of the Greek defense industry was the focus of a conference organized by SEKPY on March 30, 2026, under the theme “National & European Funding Opportunities in the Defense Sector.” During this event, we presented the possibilities for leveraging both national and European programs, highlighting the range of options now available to companies in the sector.
There is increasing interest in investments in defense, security, and dual-use technologies, as Europe seeks to strengthen its strategic autonomy.
As Mr. Kostas Vamvakas, CEO of VK PREMIUM, stated in his speech,
“Greece is activating a range of financial incentives, including grants, tax exemptions, and favorable loan instruments, creating an attractive environment for new investments.”
In the coming period, the Development Law is expected to announce support schemes for manufacturing, large investments, and new technologies, as well as a specialized framework for the defense sector.
This last scheme covers activities such as the production of defense equipment, vehicles, aircraft, and critical subsystems. The total funding for these initiatives amounts to approximately €150 million, combining grants and tax incentives.
Additionally, the active NSRF program “Producing in Greece” provides subsidies of up to 55% of the investment budget, with grant amounts ranging from €100,000 to €400,000. Eligible expenses include, among others, production equipment, digital systems, certifications, as well as internationalization efforts—crucial for companies participating in global value chains.
At the same time, a new initiative under the European STEP program (Strategic Technologies for Europe Platform) is expected soon. It targets the development of advanced technologies, such as artificial intelligence, cybersecurity, semiconductors, clean technologies, defense, security, and dual-use technologies. The initiative will provide support of up to 65% for specific investments, with a maximum subsidy of €200,000.
Moreover, an action to support technologies and products with a clear defense orientation will be announced, focusing on scaling production capacity and modernizing production lines. This scheme will provide grants of up to 75%, with a maximum budget of €5 million.
Significant are also the tax incentives for R&D expenditures, allowing super-deductions of up to 100% or higher in certain cases. This measure acts as a catalyst for innovation, substantially reducing the tax burden on companies investing in technological development.
Complementary tools, such as TEPIX III, offer access to loans with interest rate subsidies and limited collateral, covering investment projects up to €10 million. The option for a grace period and guarantees of up to 80% from the Hellenic Development Bank further enhance liquidity for SMEs.
Summary of Funding Programs Supporting the Defense Industry
- Support scheme up to 75% for the Defense and Vehicle Manufacturing sectors (Development Law)
- Scheme for New Technologies (Development Law)
- Scheme for Manufacturing – Supply Chain (Development Law)
- Scheme for Large Investments (Development Law)
- Active NSRF action for manufacturing enterprises
- New NSRF STEP initiative for advanced technologies (AI, cybersecurity, dual-use technologies)
- New NSRF initiative for supporting defense-oriented technologies and products, and modernizing production lines
- Tax incentives for R&D expenses, allowing super-deduction up to 100%
- TEPIX loans with favorable terms (up to 80% guarantee from the Hellenic Development Bank and interest subsidy)
Through coordinated partnerships, participation in international projects, and a focus on technological innovation, the Greek defense industry has the potential to become a key pillar of the European defense strategy by 2030.
Companies aiming to enter or expand their activities in the defense sector must ensure proper preparation (internal evaluation, market analysis, etc.) to develop an effective implementation plan (development, financing, networking, etc.).
With specialized advisory services, VK PREMIUM supports companies in expanding their defense sector activities or participating in defense industry projects and programs.
📩 Contact us today to explore how we could support your investment project!
Contact Form
* Required fields
