Greek shipowners will pay at least 75 million euros ($85.37 million) annually to the state budget, the prime minister’s office said on Wednesday, under a deal that replaces a previous voluntary arrangement.

The sum is equivalent to a 10 percent levy on dividends, according to a statement by Prime Minister Alexis Tsipras’s office.

Along with tourism, shipping is a pivotal sector for the Mediterranean country. Greek shipowners operate some of the world’s biggest tankers and bulk carriers. Greek shipping accounts for almost half of the EU’s total fleet capacity.

Tsipras said that under Greek law shipowners are not obliged to agree on any contribution and that the deal was a “significant” contribution to the country’s efforts to emerge from a debt crisis that has lasted nearly a decade.

“We must all realise that emerging from the crisis means bigger business opportunities,” Tsipras said.

Greece had for long granted generous tax allowances to its shipowners, a situation which Tsipras had pledged to end when he was first elected in 2015 but had not pursued since then.

Since 2014, Greek shipowners have made voluntary payments to the state under an agreement which expired last year. The new deal makes the payments permanent, the PM’s office said.

Shipowners have repeatedly warned that hiking taxes could push them to relocate abroad.

Theodore Veniamis, president of the Union of Greek Shipowners (UGS) said the industry was supporting “the effort the government is making for a better future in Greece.”

[Reuters]

During an event held at City Hall, OECD Secretary-General Angel Gurria and Athens Mayor Giorgos Kaminis presented the document which “charters the way forward on how cities can leverage innovation, in particular, public sector-related, technological and social innovation, in order to bolster their inclusive growth agendas,” according to an OECD press release.

More than 30 mayors and municipal representatives from all over the world participated in the meeting, supporting the roadmap, which is the most detailed action plan adopted since the initiative's launch in 2016, Gurria said.

“The roadmap is a guide for cities and their leaders on how to seize innovation as a tool for more inclusive growth... Champion Mayors commit to leverage the full potential of innovation to ensure that we progress together as a society,” he emphasized, addressing the event.

Noting that currently half of the world's population lives in urban centers, Gurria explained that starting from the level of cities the target is to continue to exchange views and agree on policies to tackle together rising inequalities worldwide.

“We must create cities and societies sustainable for all citizens... In this effort, cities should hold a leading role... We seek growth for all, growth that will leave no one behind,” Kaminis said on his part.

On Tuesday and Wednesday the mayors will join ministers at the OECD's regional development ministerial meeting at the Athens Concert Hall to discuss common challenges such as globalization, digitalization, climate change and demographic issues, as well as proposed policies for their management under the theme “Megatrends: Building better futures for regions, cities and rural areas.”

European Commissioner for Regional Policy Corina Cretu represents the EU in the three-day meetings in Athens.

“In a changing world, faced with economic, social and demographic challenges, I remain convinced that Cohesion Policy is one of the best tools the EU has to remain ahead of the curve. It will help us achieve the transition towards a fairer, more sustainable society in Greece and in Europe,” she said, according to an e-mailed press statement from her office. [Xinhua]