The European Union has already blocked payments to Greece from EU agricultural funds amid an unprecedented crisis involving large-scale fraud and serious administrative deficiencies. According to official data, approximately €598 million in outstanding subsidies for 2024 have not been paid to Greek farmers, and advance payments under the single payment scheme have been entirely suspended.

At the center of the crisis is OPEKEPE, Greece’s agricultural payment agency, accused of systematically approving funding based on false declarations regarding land and livestock. Investigations conducted by OLAF (the European Anti-Fraud Office) culminated in October 2025 with raids at OPEKEPE’s headquarters, following allegations of fraud estimated at tens of millions of euros.

The European Union responded firmly: the European Commission imposed a financial correction of €392.2 million and demanded immediate reforms. In the absence of a valid recovery plan submitted by October 2, 2025, Brussels proceeded to effectively block all interim and monthly payments, under Regulation (EU) 2021/2116, Article 102.

The plan proposed by the Greek authorities was initially rejected for lacking concrete measures, particularly regarding:

• correction of the LPIS system (electronic parcel identification),
• animal traceability,
• integration of tax and agricultural databases,
• and real on-site audits.

For Greek farmers, the consequences are already visible: eco-subsidies, support for organic farming, and compensation for rare breeds have been halted, causing financial uncertainty and triggering protests across several regions.

The Greek government has announced the restructuring of OPEKEPE and its transfer under the supervision of the Independent Authority for Public Revenue (AADE), but the process is slow, and pressure continues to mount. The Commission has stated that only the immediate implementation of corrective measures can unlock the suspended payments — with no guarantee that all withheld sums will be retroactively reimbursed.

This situation represents the most severe case of agricultural payment suspension in the EU over the past decade and could set a precedent for stricter controls across all Member States.

(Photo: Freepik)