Greece Sees Foreign Investment Nearly Double in 2026

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Foreign direct investment (FDI) in Greece has surged in 2026 after reaching a record €12.6 billion last year, with inflows nearly doubling during the first seven months of the year.

According to the latest figures from the Bank of Greece, FDI inflows reached €7.6 billion between January and July, up from €3.9 billion during the same period in 2025. The figure was also three times higher than the €2.5 billion recorded during the first seven months of 2019.

Two major business developments contributed significantly to this year’s increase.

In January, Italian bank UniCredit increased its stake in Alpha Bank from 20% to around 30%, pushing FDI inflows to €2.2 billion for the month.

In May, Public Power Corporation (PPC) completed a €4.25 billion share capital increase, attracting strong interest from international investment firms. CVC Capital Partners, PPC’s largest private shareholder and second-largest shareholder overall after the Greek state, with a stake of around 17%, announced a €1.2 billion investment in the capital increase. Foreign investment inflows reached €1.7 billion in May.

A foreign company’s purchase of shares qualifies as direct investment rather than portfolio investment when its stake in the domestic company exceeds 10%.

Bank of Greece Governor highlights wider economic impact

Bank of Greece Governor Yannis Stournaras told the Athens-Macedonian News Agency (AMNA) that FDI brings more than capital into the Greek economy.

He said foreign investment also transfers know-how, innovation and advanced business practices from investing companies, strengthening the productivity and competitiveness of domestic businesses and the wider economy.

Stournaras added that FDI can play a catalytic role in transforming the country’s productive base and expanding Greece’s export base.

Excluding January and May, FDI inflows averaged €750 million per month through July.

The Bank of Greece has not yet published detailed figures showing where this year’s investments went. However, the trend of recent years shows that services remain the main destination, followed by real estate and manufacturing.

Services attract more than half of 2025 FDI

Final Bank of Greece figures for 2025, released on October 1, show that the services sector attracted €6.7 billion in FDI, accounting for more than half of the total.

The largest areas included:

• Real estate management: €1.7 billion, or 13.9% of total FDI
• Financial and insurance services: €1.5 billion, or 11.7%
• Information and communications: €1.4 billion, or 11%
• Transport and storage: €1.2 billion, or 9.6%
• Wholesale and retail trade: €468 million, or 3.7%

Private real estate transactions generated €701 million in FDI in 2025, representing 5.6% of the total.

Real estate continued to attract foreign capital through both corporate management and private transactions, but inflows fell to €2.4 billion from €2.8 billion in 2024.

It was the first decline in foreign investor interest in the sector since 2020. The Bank of Greece attributed the decline potentially to higher construction costs and, primarily, the increase in the minimum investment threshold for Greece’s Golden Visa programme.

Energy investment surged in 2025

Investment in the energy sector surged to €4.1 billion last year, accounting for 33% of total FDI.

The increase was linked to the restructuring of Metlen and the company’s share trading on the London Stock Exchange.

Manufacturing attracted €393 million in investment, mainly in basic metals, computers and chemical products.

By investment type, mergers and acquisitions accounted for 41% of FDI in 2025. Purchases of new shares accounted for 21.3%, while real estate purchases represented 16.4%.

Reinvested earnings accounted for 15.4%, while loans from parent companies represented a smaller 6%.

UK, Switzerland, Luxembourg, Germany and US lead investment sources

Stournaras said the United Kingdom, Switzerland, Luxembourg, Germany and the United States ranked among the main sources of FDI into Greece during the 2021-2025 period.

The investment flowed into sectors including financial activities, electricity generation and manufacturing, while real estate also remained significant.

He also highlighted the employment benefits of foreign investment, noting that FDI often creates highly specialised jobs and helps retain highly skilled workers in Greece.

“Foreign direct investment is not limited to the inflow of capital into the Greek economy,” Stournaras said, adding that it also contributes to the transfer of know-how, innovation and advanced business practices.

He said these factors strengthen productivity and competitiveness and can support Greece’s productive transformation and the expansion of its export base.

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