The package of measures amounting to 870 million euros, which will be included in the 2025 budget, was mentioned by the Minister of National Economy and Finance, Kostis Hatzidakis, from the Economic Forum of Delphi. These are measures that the government has already announced, such as the reduction of insurance contributions by 0.5%, the abolition of the business tax for the self-employed, the permanent return of the Special Consumption Tax to farmers, the increase of the housing benefit for the students, the increase in pensions, as well as the suspension of VAT in construction.

In particular, as Mr. Hatzidakis said, in 2025 a new reduction in insurance contributions by 0.5% will be applied with the cost being 215 million euros, the pretension fee will be abolished after this year’s reduction by 50% at a cost of 120 million. euros, a permanent return of the EFFK to farmers will be established, at a cost of 100 million euros, the increase in the housing allowance for students at a cost of 15 million euros, the increase of pensions based on the performance of growth and inflation at a cost of about 400 million euros.

Primary surplus and growth

According to the Minister of National Economy, the medium-term program that will be submitted in September to the Commission will predict an average growth rate of 2.5% for the next three years. In addition, he stated that the target for the primary surplus will be 2.1% of GDP this year as well. He pointed out that Greece is not “in a protected glass. It is affected by international developments, however it has endured, which is why we have stronger growth rates than the Eurozone average.”

However, he insisted on the need for fiscal prudence and, combining the will of the government with the new fiscal rules, he emphasized that “the so-called surpluses should be kept for the difficult times”. “The goal is to have a robust, responsible, serious economic policy.” “We have calculated that we will reach our goals, we are constantly measuring by doing a conservative management and what we want to do precisely because we live in an unstable environment is to have surpluses aside so that in difficult times we can support the vulnerable, as any householder would do”, pointed out Kostis Hatzidakis.

Yes to investments and exports

At the same time, he noted that the government’s goal is to boost consumption and not imports. “In this effort, our great ally is the NSRF and the Recovery Fund, and the purpose is not only the absorption, but also the utilization of the resources.”

“We want to motivate both investments and exports. The country still has a significant investment gap,” underlined Mr. Hatzidakis.