Staikouras: Support measures will exceed 10 billion euros for 2022

The help that will be given this year to households and businesses will significantly exceed 10 billion euros, against initial estimates of 8.5 billion euros. This was stated by the Minister of Finance Christos Staikourasadding that a portion will come from the budget and the largest from the Energy Transition Fund.

Speaking to the radio station “Alpha 98.9”, the minister appeared very restrained, pointing out that “we have to be very careful in meeting the fiscal targets (primary deficit of 2% of GDP this year and primary surplus in 2023), because the markets are taking it seriously”. He added that “first we measure, first we are very careful about what we have and then we proceed with the choices (of the support measures). There is limited fiscal space and high uncertainty.”

According to Mr. Staikouras, the initial fiscal space was exhausted in electricity subsidies and the second in Fuel pass-2 and farmers. The new or expected fiscal space will depend on ELSTAT’s Q2 GDP announcements and budget and tourism revenues, he said. Pointing out that the course of natural gas and electricity prices in the coming months must also be considered, as the more resources are available there for support measures, the more they are limited by other options.

However, he said that they are given, as permanent measures from 2023, the pension increases and the abolition of the solidarity levy for civil servants and pensioners. For heating benefit (increasing the amount and expanding the number of beneficiaries) essentially referred to the Prime Minister’s announcements at the TIF, saying that “the heating allowance is one of the measures assessed in the existing or expected fiscal space”. As he also referred to the announcements of the prime minister about the possibility of reducing the pretense fee.

RES-EMP

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