Greece, France renew defense pact, expand cooperation
Greece and France renewed their defense pact Saturday as European nations seek to bolster their deterrence strategy. The two countries extended their defense agreement – first signed in 2021 – for another five years, with automatic renewals thereafter, following a meeting between Greek Prime Minister Kyriakos Mitsotakis and French President Emmanuel Macron at the Maximos Mansion in Athens. Macron arrived in Greece Friday after a European Union leaders’ summit in Cyprus.
Androulakis targets gov’t over corruption, says PASOK must win ‘even by one vote’
Greece’s main opposition leader Nikos Androulakis on Friday launched a sharp attack on the conservative government over corruption, saying his PASOK party must win the next election – “even by one vote” – to restore normalcy and put the country on a stronger European footing.
Constitutional revision and ‘Pissarides Report II’ to underpin government’s narrative in bid for third term, sources say
As the government prepares for the upcoming electoral battle to win a third term in power, it will focus particularly on two initiatives, sources with the deputy prime minister’s office have informed the Athens-Macedonian News Agency (ANA-MPA): the revision of the Constitution and the planning of social and economic policy in the period spanning 2028-2034, dubbed the so-called “Pissarides Report II”.
S&P affirms Greece’s long-term sovereign credit rating at ‘BBB’, with a stable outlook
S&P Global Ratings affirmed Greece’s long-term sovereign credit rating at ‘BBB’ with a stable outlook, one notch above investment grade. S&P noted that it conducted its semi-annual assessment of Greece’s creditworthiness, based on the latest data, without publishing a new report.
ATHEX: PPC steals the show on local bourse
PPC’s stock was the main focus of the last bourse session at Athinon Avenue this week, as Thursday’s news of an upcoming share capital increase of €4 billion led to a major slump to the utility’s price, with the rest of the board keeping its balance more or less, though banks also headed lower. After dropping by more than 9% at some point, the PPC stock recovered most of its losses to close with a decline of 2.84%. The PPC share capital increase will have to be completed by the end of next month. The Athens Exchange (ATHEX) general index closed at 2,220.02 points, shedding 0.66% from Thursday’s 2,234.68 points. On a weekly basis it conceded 3.86%.
https://www.ekathimerini.com/economy/1301880/athex-ppc-steals-the-show-on-local-bourse
SUNDAY PAPERS
KATHIMERINI: Piraeus customs: 400 million from “black” containers
TO VIMA: Family affairs cause turbulence within the ruling party
REAL NEWS: Erdogan escalates tension in the Aegean
PROTO THEMA: Two new parties to be announced in May: The game begins
MONDAY PAPERS:
TA NEA: Debt regulation schemes: Which one is more appropriate for our needs…
EFIMERIDA TON SYNTAKTON: What does European Chief Prosecutor Laura Kövesi mean, Mr. Prime Minister?
KONTRA NEWS: PM’s office in the red – Samaras’ party is ready
DIMOKRATIA: Huge safety gaps in nurseries
NAFTEMPORIKI: Professional Insurance Funds to become more attractive
DRIVING THE DAY
THE IRAN SHOCK HITS HOME: European Union leaders stayed out of the U.S.-Israeli war against Iran, but they’re struggling to avoid the blowback — and it’s fast turning into a political nightmare for the bloc’s fragile center.
It’s the economy, stupid: In this piece out today, Bjarke Smith-Meyer and yours truly report that pro-European leaders like German Chancellor Friedrich Merz are scrambling to stop an energy crunch from becoming a full-blown economic crisis — and to keep populist rivals from using it against them at the ballot box.
Voters squeezed by the “income shock” from rising prices and weak growth may look to punish incumbents, Séamus Boland, president of the European Economic and Social Committee, told Playbook. “Politically, this creates space for distrust — not just of national governments, but of European institutions’ ability to shield citizens from external shocks,” he said.
Upcoming elections in Sweden, Cyprus and the German state of Saxony-Anhalt — where the far-right Alternative for Germany is currently leading the field — offer plenty of opportunities for voters to vent their frustration.
Leaders may have hoped that the Middle East crisis would blow over quickly, but there’s no end in sight for the standoff between Washington and Tehran that sent oil prices soaring above $100 per barrel. While you were sleeping, Axios reported that Iran has put forward a new proposal for reopening the Strait of Hormuz and ending the war, with talks about its nuclear program postponed, but Trump seemed in no rush yesterday to send his negotiators back to Pakistan. Iran’s Foreign Minister Abbas Araghchi has just touched down in Russia to discuss the war with Vladimir Putin.
Brussels has few levers: The European Commission has put forward proposals to ease the pain for households and businesses, but the bloc’s tools are limited and Europe’s economic picture is getting darker. EU economy czar Valdis Dombrovskis told Playbook it’s “almost certain that we will have to revise our economic forecast down” when the Commission publishes its spring projections in May.
Shadow over Strasbourg: The Iran war looms over the agenda in Strasbourg this week, starting with a debate about the EU’s €1.8 trillion long-term budget on Tuesday. It’s shaping up to be a fight over both the size and focus of the MFF, as lawmakers push to ringfence agricultural subsidies and cohesion funds. (Giorgio Leali’s piece about the budget talks at the leaders’ summit on Friday is well worth your time.)
And again on Wednesday: Commission President Ursula von der Leyen will join MEPs for a debate on the EU’s strategy on the Middle East conflict and its economic and geopolitical consequences.
BERLIN SQUEEZES BRUSSELS
VON DER LEYEN FEELS THE HEAT FROM HER OWN PARTY: The European Commission president is in Berlin today, where she’s facing pressure from her own conservative Christian Democratic Union and the Christian Social Union to speed up the European Commission’s deregulation drive.
Their tactics: Drafts of a new strategy paper by the conservative parliamentary group, obtained by my Berlin-based colleague Oliver Noyan, lay bare how German lawmakers are increasingly playing hardball to get what they want in Brussels. (Read Oliver’s full story here.)
One eye-grabbing proposal: Putting the Commission under the supervision of a body that would wield veto rights over any legislation put out by Brussels.
Stand back: Plans to put the Commission on a leash are unlikely to materialize anytime soon, since they’d likely require changing the EU’s treaties. But the harsh tone emanating from Berlin is revealing. Increasingly under pressure from the far right, Merz’s conservatives are growing more aggressive toward Brussels.
PARLIAMENT CORNER
PATRIOTS UNDER FIRE: MEPs are set to vote Wednesday on a report urging Parliament’s administration to act against the former Identity and Democracy (ID) group and the Patriots for Europe (which the budgetary control committee to be ID’s successor) for misspending EU funds, Max Griera writes in to report.
Why this is happening: In summer 2025, the Parliament’s finance department found that the now-defunct ID — home to Marine Le Pen’s National Rally — had misspent about €4 million between 2019 and 2024. This triggered a criminal investigation by the EU public prosecutor.
Key background: Parliament’s budgetary control committee then asked the Parliament’s secretary-general to recover the funds from the Patriots. In November 2025, Parliament’s leadership said it would wait for the European Public Prosecutor’s Office (EPPO) findings before taking action.
But with the probe still ongoing, lawmakers will vote on a resolution that urges the administration to take “all the necessary measures” without waiting for the EU prosecutor’s investigation — including withholding funds from the Patriots. “Criminal proceedings should not be automatically used as a generalized justification for possible inaction,” the report reads.
Meanwhile … Transparency International asked the EU’s anti-fraud office (OLAF) on April 24 to open a separate probe into administrative failings and to recommend disciplinary action against Philip Claeys, secretary-general of the Patriots group, according to a letter seen by POLITICO. Transparency International said OLAF should examine whether, given Claeys’ current role, his conduct “gives rise to ongoing risks to the Union budget.”
Stuck: Parliament’s administration can’t suspend or dismiss Claeys, as he is employed by a political group, leaving that decision to its leadership. But Parliament can recover or freeze the groups’ funds to pressure it to act. It can also establish personal financial liability for the misspending. Parliament spokesperson Delphine Colard declined to comment. The Patriots group spokesperson didn’t respond to a request for comment.
IN OTHER NEWS
BEIJING LASHES OUT: China’s commerce ministry has warned Brussels that Beijing “will take necessary measures to resolutely safeguard” the interests of Chinese companies and individuals included in the EU’s 20th sanctions package against Russia, Milena Wälde reports.
MAGYAR VISITS BRUSSELS: Hungary’s incoming Prime Minister Péter Magyar will be in Brussels Wednesday for urgent talks with Ursula von der Leyen as he races to unfreeze billions in EU funds. Milena has the story.
KING ON A MISSION: Britain’s King Charles III begins a state visit to the U.S. today, tasked with mending fences with the Trump administration. My colleagues Dan Bloom and Esther Webber have a deep dive on the politics simmering behind the scenes … and Washington Playbook author Jack Blanchard explains why the visit has morphed into a “high-stakes diplomatic mission to save Britain’s most important ally.”
GREECE’S FARM SCANDAL: As the ruling New Democracy party continues to face pressure over a huge farm fraud scandal, several Greek officials have launched personal attacks against European Chief Prosecutor Laura Codruța Kövesi over her investigation, Nektaria Stamouli writes in to report. Kövesi says the criticism is “an attempt to shift discussion from the real topic” and she’s received support from Greece’s newly appointed agriculture minister (and former EU Commissioner), Margaritis Schinas. “Complaining about the European prosecutor is like complaining about the weather,” Schinas said.
BELGRADE BUST-UP: A coalition of Serbia’s diaspora organizations has written to Enlargement Commissioner Marta Kos backing the EU’s decision to strip the country of integration funds, as first reported by POLITICO earlier this month. The group is calling for the money to instead be spent on strengthening Serbian civil society.