The prospect of a new relief package in September at the DETH is reinforced by data on the economy’s path to 2025, as released by Eurostat and ELSTAT.
In particular, the government’s announcements following the recording of the primary surplus mark the beginning of a broader planning process. Prime Minister Kyriakos Mitsotakis has already unveiled measures worth 500 million euros, acting as a first step for interventions up to 2027.
1.7 billion. euros
Based on the data, a total fiscal space of about 1.7 billion euros is created for this year and next.
Of this amount:
- 500 million has already been committed for support measures (rent reimbursement, aid to families and pensioners).
- 1.2 billion are still to come. EUR, of which:
- 200 million EUR will be made available in 2026
- EUR1 billion will be made available in 2026
- . euro will form the basis for the 2027 announcements
Supported by the performance of the economy
This picture is based on the resilience of the Greek economy and the results from tackling tax evasion.
Growth is estimated at close to 2% this year, lower than the initial forecast (2.4%), but the difference is expected to be made up by a better performance in 2027, when the forecast rises to 2% from 1.7%.
These revisions also lead to a higher target for the primary surplus in 2026 at 3.2% of GDP (up from 2.8%), a figure that is maintained for 2027.
At the same time, the estimate for public debt improves, which is placed at 136.8% of GDP this year and falls to 130.3% in 2027.
New business measures on the table
The economic staff is working on the TIF package in the coming period, with a focus on strengthening entrepreneurship.
Among the interventions being considered:
- Removal of the tax on business for businesses
- Reduction of prepayment of tax for small and medium-sized enterprises (currently at 80%)
- New reduction in employment contributions from 2027
Note that the aim is to strengthen the market and boost growth, using the available fiscal space without disturbing stability.
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