
A new constellation of interventions for the relief of households and businesses from the skyrocketing of energy costs and the consequent price increases was announced by the Minister of Finance, Christos Staikouras, speaking to SKAI channel.
As he admitted, there is a serious problem with the cost of energy globally and it is even more acute than the initial estimates, however he noted that it is temporary and the second quarter of 2022 will begin to de-escalate. In fact, he did not rule out the possibility that inflation in December would exceed 5%.
“The Greek state must find ways to increase its aid to citizens in the near future. We are trying to see in cooperation with the Ministry of Environment what next moves we will make in December and 2022 to cover the problem of energy costs even more. When the situation escalates, we need to change goals and help more. We are planning a network of interventions to help comprehensive and coherent households and businesses for the twin crises they are facing”, said Mr. Staikouras.
Regarding the budget, the debate on which begins in Parliament today, he noted that there will be no changes. “This does not mean that the economy does not have a dynamic. This does not mean that depending on how the crises develop, because there are crises and even twin crises – both in the field of health with mutations and in the field of energy – there are no needs for interventions and so we undertake them and will continue to do so where necessary “, he underscored.
As he mentioned, although the budget closes based on the plan, one can not be satisfied when the primary deficit is of the order of 7%. The Minister of Finance explained that “we had to help society and we did the right thing, but the country’s expenditures are increased in relation to revenues by about 13 billion euros. This is because as a state we had to support households and businesses for the health crisis with 43.4 billion euros in three years, we had to support them for fires with over 0.5 billion euros in the summer and to date we have supported households again and companies for the energy crisis with over 1.1 billion euros “.
Asked if new austerity measures would be needed to cover the deficit, he said categorically not that as the economy gradually recovers, support measures are withdrawn and a strong recovery is recorded, revenues can be increased and adjustments made without austerity measures, but by maintaining permanent reductions in taxes and insurance contributions.
“The budget includes the reductions we have already announced, such as the permanent interventions, for example the reduction of ENFIA property tax by 22% and we have put a reduction of 60 million euros in 2022. We will see to which households this will go in January. We have a further reduction in corporate taxation to 22% from the 29% we received, reduced insurance contributions by 4% and permanent reductions in tax advances and the reduction in corporate taxation from 22% to 9% applies to the lowest income brackets,” added Mr. Staikouras.
He concluded that depending on the fiscal space, from 2023 onwards, the government will use it for further reductions in taxes and insurance contributions and the exercise of a proper rational social policy in critical areas, such as health.


Latest News

Greece’s New Government Members Sworn in at Presidential Mansion
Greece's new government members were sworn in on Saturday morning and head straight to work through the first meeting of the new cabinet.

Moody’s Upgrades Greece to Investment Grade, Ending Crisis Era
The rating agency raised Greece’s long-term credit rating to Baa3 from Ba1, with a stable outlook.

EFET on World Consumer Day: Humanity Faces New Challenges
This year’s message emphasizes the need for a transition to sustainable lifestyles while safeguarding consumers’ legally recognized rights. This means ensuring access to essential goods such as food and energy, as well as health and safety.

Athens Hotels Lead Europe in Value Growth for Third Year
Over the entire period from 2015 to 2024, the average annual increase in hotel value was 6.1%.

Unemployment Rate in Greece Down 8.9% in January: IOBE
The unemployment rate in Greece recorded a further decline in January 2025, reaching 8.9%, according to the latest Foundation for Economic & Industrial Research (IOBE) report.

Demand for Short Term Rentals in Greece Surges Ahead of Easter
Among the most popular Easter destinations from Good Friday to Easter Monday are Corfu, Hydra, the Peloponnese, Ioannina, Patmos, Loutra Edipsou, Kavala, Thassos, and Pelion

Opposition Reacts Strongly to Greek Government Reshuffle
PASOK's spokesperson, Kostas Tsoukalas, characterized the reshuffle as a clear indication of Mitsotakis' "strategic deadlock."

Greece’s Economy Awaits Moody’s Verdict on Investment-Grade Rating
The stock market has reflected strong performance, with the general index showing resilience and a lack of inward-looking caution.

Greek PM Reshuffles Cabinet after No-Confidence Vote
The most notable changes in the Greek cabinet reshuffle include Kostis Hatzidakis being appointed Deputy Prime Minister and Kyriakos Pierrakakis taking over as Minister of National Economy and Finance.

Mitsotakis: Greece-Israel Strategic Ties Increase Stability in East Med
Greek Prime Minister Kyriakos Mitsotakis made the statement in welcoming Israeli Foreign Minister Gideon Sa'ar to his office on Thursday