Probe links planning ring, culture ministry
New details have emerged in the investigation into an alleged planning-permit network following the resignation of Culture Ministry Secretary-General Giorgos Didaskalou, with court documents describing suspected efforts to influence advisory bodies responsible for decisions on protected properties.
https://www.ekathimerini.com/news/environment/1306406/probe-links-planning-ring-culture-ministry
New Pact on Asylum and Migration implemented on Friday
The new Pact on Asylum and Migration, which overhauls the European framework for migration and asylum management, enters into full effect across the European Union on June 12. In Greece, the legislative framework of the pact’s provisions into national law was approved by Parliament on June 9, aligning the country with the new European procedures governing border management, asylum processing and migrant returns.
https://www.amna.gr/en/article/1000259/New-Pact-on-Asylum-and-Migration-implemented-on-Friday
Mitsotakis: ‘I am the only Greek PM who visited Ankara and directly posed the issue of casus belli’
Greece’s diplomatic capital in a turbulent world and the conflict in the Middle East, “is definitely upgraded,” Prime Minister Kyriakos Mitsotakis said in an interview to ANT1 television and journalist Nikos Chatzinikolaou on the show ‘Enopios Enopio’ on Thursday evening. Referring to Greek-Turkish relations and responding to a question of choosing to maintain calm relations with Türkiye, Mitsotakis said, “Do you know of any prime minister who has purposely sought troubled waters?” He further said, “We obviously want our relations with Türkiye to be as functional as possible. The question is not whether we want calm waters or not, but whether we are able to manage rough waters. The quality of a good captain shows up during a storm, and we have had several to manage before the Declaration of Athens.”
Greece set to buy Embraer C-390 aircraft, mini-submarines, sources say
A Greek parliament committee approved on Thursday the purchase of three Brazilian-made Embraer C-390 military transport aircraft and several types of drones from the U.S. and Israel, two people with knowledge of the matter told Reuters. The total cost of the defence systems, which also include 10 British-built VICTA mini-submarines for special operations, amounts to €1 billion to €1.2 billion.
ATHEX: Bourse happy with interest rate increase
The predictable hike of the European Central Bank reference rates, the first in almost three years, gave markets a new boost on Thursday and offered gains to Greek blue chips, primarily banks, though not to the majority of local stocks. That resulted in the benchmark at Athinon Avenue climbing during the closing auctions to highs not seen since early February. Volatility may persist, but the net result of recent ups and downs remains clearly positive.
https://www.ekathimerini.com/economy/1306419/athex-bourse-happy-with-interest-rate-increase
KATHIMERINI: The interconnections and the “tentacles” of the criminal ring in urban planning
TA NEA: Urban planning office: it’s raining resignations
EFIMERIDA TON SYNTAKTON: Tsipras’ team revealed
RIZOSPASTIS: The government’s “settlement” legislation for workers is leading exploitation to new heights
KONTRA NEWS: New arrests ahead for the urban planning mafia
DIMOKRATIA: Scandalous actions by government officials continue
NAFTEMPORIKI: Back and forth for listed companies due to the war
DRIVING THE DAY
THE NEGO BOX BACKLASH: Cyprus’ opening bid in the battle over the EU’s next seven-year budget has prompted accusations the presidency is tilting the talks toward one camp, exposing divisions that ambassadors alone may no longer be able to bridge — and putting pressure on leaders to enter the fray sooner than expected.
Power of the presidency: Cyprus proposed minimal cuts to the bloc’s €2 trillion budget, despite the demands by fiscally conservative countries such as Germany and the Netherlands. Nicosia applied the biggest cuts — 3.9 percent — to the European Competitiveness Fund and Global Europe, while leaving farm subsidies and cohesion spending untouched.
“Our cut is the compromise that addresses all voices in the Council,” said Cyprus’ Deputy EU Affairs Minister Marilena Raouna. But diplomats from wealthier member countries claim the proposal falls short of the neutrality expected from a Council presidency.
Friends will be friends: Cyprus belongs to the informal “friends of cohesion” camp, which has spent months defending regional funding against efforts to redirect money toward newer priorities such as competitiveness and defense. Diplomats from the other side are accusing the presidency of making concessions to cohesion countries while offering little in return.
Nego no-go: One diplomat, granted anonymity like others quoted in this story to speak freely, described the changes as “microscopic,” saying they reflected intense pressure from the friends of cohesion group. Dutch Finance Minister Eelco Heinen and Swedish EU Affairs Minister Jessica Rosencrantz both publicly dismissed the compromise as a “no-go box.”
Crash landing: The bigger concern for the frugals is not the scale of the cuts, but what happens next. “This was supposed to be a landing zone, but it looks more like a crash site,” one diplomat told Playbook. Three diplomats said they fear leaders could now simply discard the compromise and restart the debate, costing valuable time.
Both camps agree on this at least: Officials have reached the limits of what they can negotiate among themselves. “Now it’s the leaders’ turn,” one diplomat said. “They need to step up.”
The real worry? That a deal slips beyond December and into a politically fraught 2027, when several major member countries, including France, Italy, Greece, Poland and Spain, will be consumed by election campaigns. “Some delegations are underestimating the politics this time,” another diplomat warned.
What happens next: EU ambassadors will discuss the proposed national and regional partnership plans today — the new “fund of funds” structure that would merge many existing EU programs — before a special meeting Sunday kicks off detailed negotiations on the negotiating box. Ministers will then take over at next week’s General Affairs Council before leaders get their chance at the European Council.
BIG AND BREAKING
KALLAS DEFENDS EEAS: The EU’s top diplomat Kaja Kallas has mounted a staunch defense of the External Action Service as questions swirl over its future, Nick Vinocur and Jacopo Barigazzi report.
SCRAMBLE TO STOP IRAN STRIKES: Leaders from Gulf and South Asian countries called Donald Trump on Thursday to talk him down after he threatened to hit Iran “VERY HARD,” my colleagues in Washington scooped. Trump claimed last night a peace deal is close, but Iran hasn’t confirmed that a final agreement has been reached.
MERZ AGAINST THE CLOCK: The AfD’s growing popularity is putting German Chancellor Friedrich Merz in a historically weak position even as he pursues sweeping reforms.
MIGRATION PACT, DAY 1: After years of wrangling, delays and political drama, the EU’s landmark migration overhaul takes effect today. Hanne Cokelaere has everything you need to know.
ALTERNATIVE WORLD CUP RANKINGS: Forget the stats on possession and expected goals. POLITICO has crunched the numbers to see how all 48 of this year’s World Cup participants rank on measures that matter beyond football.
More World Cup reading: How politics is overshadowing this year’s tournament.
LAST CALL: Brussels veterans know no file is ever truly finished, but the EU’s long-delayed overhaul of air passenger rights may finally be approaching the runway.
BARDELLA HEADS EAST: French far-right presidential hopeful Jordan Bardella is heading to Poland next week, where he’ll visit the Belarus border and Frontex headquarters and look to strengthen ties with the Law and Justice party, POLITICO’s Marion Solletty scooped last night.
ISRAEL TRADE MEASURES
FRESH PUSH ON ISRAELI SETTLEMENT IMPORTS: A group of EU countries is using a prominent legal opinion to ramp up pressure on the European Commission to impose tariffs on imports from Israeli West Bank settlements. It’s a thorny issue that pits the executive against some national governments and its own diplomatic service, the EEAS.
Letter of the law: The European Commission has told European capitals that because such tariffs amount to sanctions, they’d require unanimous backing from all 27 EU members to be adopted. But a legal opinion from the European Council, cited by two EU diplomats, rejects that position, concluding the tariffs could be imposed with qualified majority voting.
It’s doable: “The council legal service says [adopting the tariffs] is certainly possible under QMV and there is precedent,” a diplomat told Playbook, adding that the level of support for such a measure could only be quantified once the policy was on the table.
Unanimous constraint: The Commission’s decision to park the proposal in the too-hard basket until now is likely because member countries don’t have a unanimous position. Czechia in particular has said it wouldn’t support further sanctions against Israel, after EU states unanimously backed measures against violent West Bank settlers in May.
Game changer: If accepted, the Council’s legal opinion would negate the Commission’s position and could force the executive to consider measures likely to further antagonize Israel. The Commission may spell out its thinking in a letter to capitals in the coming days, according to diplomats who spoke to Playbook.
Backward glance: France and Sweden originally proposed imposing tariffs on imports from illegal Israeli settlements in the West Bank as a way of pressuring Benjamin Netanyahu’s government to halt expansion into the area, with several other states informally voicing support.
Institutional clash: While on paper tariffs are a trade policy issue, the Commission’s reluctance to embrace the measures has already fed into its worsening feud with the EEAS and its chief Kaja Kallas over control of foreign policy.
Source of tension: Frustrated by the lack of progress, Kallas complained last month that member countries had been asking the Commission for a proposal that never materialized. “I asked for this [proposal] but the proposal is not there. And I can’t draft it,” she said.
What to watch: The issue will be in focus on Monday during a gathering of EU foreign ministers in Luxembourg where capitals will also weigh proposed measures against Israeli Cabinet member Itamar Ben-Gvir.
20-SECOND PLAYBOOK PRIMER
EU countries aren’t happy with the European Commission’s decision to exempt green investments from the bloc’s spending rules. So, what’s going on? The Commission has given EU countries that are suffering because of the energy crisis more fiscal breathing space by allowing them to exclude some spending on green energy from their national budgets, which could prevent them from breaking the EU’s deficit rules. Frugal countries say this sets a bad example.
LIFE AFTER BELÉN
WHO’S IN THE RUNNING FOR EEAS SEC-GEN? At least three names are in circulation as potential replacements for Belén Martínez Carbonell, who is leaving her post as secretary-general of the EU’s diplomatic arm, Jacopo Barigazzi reports.
Drumroll: The top contenders are Polish diplomat Maciej Popowski, currently director-general at DG ECHO, and Nikolaus “Nikki” Marschik, a former Austrian ambassador to the EU who is currently secretary-general at the foreign ministry in Vienna, according to five officials who spoke on condition of anonymity. Slovak diplomat Katarína Mathernová, currently EU ambassador to Ukraine, has also been mentioned, but she told Jacopo she is not running.
NB: We’ve listed the names in order of their chances of success in the application process. None of them replied to a request for comment. New candidates are likely to come forward, so this isn’t a final list.
Background: Carbonell is headed to Mexico to lead the EU delegation there after less than two years on the job, as first reported by POLITICO. The EEAS is recruiting for a secretary-general who would mainly be in charge of administrative matters, as is the case under Carbonell.
6 MORE THINGS GETTING US TALKING
ALSO ON THE COREPER MENU: EU ambassadors will try this evening to finalize the Council’s position on the food and feed safety omnibus, a potential late win for the Cypriot presidency. More for subscribers in Morning Agri.
ECB TAKES A HIKE: The European Central Bank raised interest rates on Thursday for the first time in nearly three years, becoming the first major central bank to react to the inflationary consequences of the Iran war.
ROMANIA’S CLOCK IS TICKING: With four days left to form a government, Romania’s prime minister-designate and MEP Eugen Tomac suffered a setback after one of the country’s major parties declined to back him.
CBAM COMES TO ECOFIN: Finance ministers meeting in Luxembourg today are expected to seek a “general approach” on the Carbon Border Adjustment Mechanism, the EU’s carbon levy on imports. Morning Energy has more (for subscribers).
MAKE RUSSIA “BURN”: Ukraine is asking allies for an additional $20 billion to consolidate what Kyiv sees as a temporary battlefield advantage over Russia, a senior Ukrainian defense official told POLITICO’s Veronika Melkozerova.
AI ENVOY CONTROVERSY ISN’T GOING AWAY: Four lobbying watchdogs have called on the Commission to revoke the appointment of Siemens Chair Jim Hagemann Snabe as special adviser on industrial AI (for subscribers).