Its meeting is in progress cabinet which started a while ago with the proposal of the prime minister Kyriakou Mitsotakis. Two of the main topics on the agenda are state budget of 2025 and the bill for her organizational reform of railway sector.

“Greece should find itself with less taxes at the end of 4 years”, said the prime minister during his introductory statement.

“This budget responds twice to accuracy,” as stated by Mr. Mitsotakis, explaining that it concerns the reduction of prices but also the increase of citizens’ incomes.

“We know well that products remain more expensive, that’s why I insist that the only way is to stimulate income for this, the budget is set in 2027,” he said.

As the prime minister noted, “the results on tax evasion will allow us to discuss more tax reductions.”

Kyriakos Mitsotakis referred to the developments in the opposition parties, saying that he contacted Socrates Famello.

“I hope that the new balances will be positive for the quality of the political dialogue,” he said.

The prime minister attacked the PASOK and to Nikos Androulakissaying that “I expect our institutional meeting with Mr. Androulakis soon, but above all I will expect a more responsible attitude. I insist because unfortunately his last positions reminded him of SYRIZA”.

The topics of the cabinet meeting are:

Presentation by the Minister of National Economy and Finance Kostis Hatzidakis and the deputy minister Thanos Petralia: a) of the 2025 state budgetb) Approval of report, balance sheet and other financial statements 2023

Presentation by the Minister of Infrastructure and Transport Christos Staikouras of the bill for the organizational reform of the railway sector

Presentation by the Minister of Social Cohesion and Family Sophia Zacharakis and the deputy minister Katerina Papakosta of the bill for the incorporation of Directive 2022/2381 regarding the improving gender balance in management positions of listed companies and her gender balance on boards of directors

Presentation by the Minister of Shipping and Island Policy Christos Stylianidis of legislative initiatives: a) Upgrading and organizing the supervision and control of the Greek Port System, b) Operational upgrading of the ministry’s structures

Presentation by the Minister of Environment and Energy Theodoros Skylakakis and by the Minister of Rural Development and Food Kostas Tsiaras of fundraising bills of their ministries.

According to information, the Prime Minister at the Ministerial Office, after the presentation of the budget, congratulated the Ministry of Finance for the work done in both the first and second four years. He emphasized that a lot has been achieved and the Greek economy has returned, pointing out that this is also evident from the data.

However, he emphasized that this is not the feeling that a large part of society has. And how we must take this into account. Despite the fact that wages have increased and we have a record low unemployment rate, many of our fellow citizens are still struggling, mainly due to the cumulatively increased cost of living. Thus, he added that an absolute awareness of this reality and persistence in the policy that leads to tax reductions and creates even more jobs is required.

Finally, he pointedly commented on the irresponsibility of the opposition with its inexpensive and free promises.

Prime Minister Kyriakos Mitsotakis’ introductory statement at the Cabinet meeting in detail

Good day, ladies and gentlemen, colleagues. The protagonist of today’s meeting is the Budget of 2025 – it will concern us, after all, for the entire next period -, it is essentially the plan that puts into practice what I had the opportunity to announce at the International Exhibition of Thessaloniki.

At the same time, it is also the first of the three steps that lead us to the goals we have set for 2027: by the end of the four-year period, Greece should find itself with even fewer taxes, primarily for the middle class, with the average salary at 1,500 euros, the minimum wage at 950 euros.

This year, however, the Budget has one more feature. As prices around the world and in Greece have risen cumulatively over a three-year period, this Budget responds precisely by supporting income doubly, reducing the burdens of households and businesses on the one hand and increasing wages on the other, which is certainly what someone wants time until the balance is restored, but only in this way will the final solution come. Everything else is just easy lies and dead ends slogans.

I know well, I think we all know, that products and services remain significantly more expensive than during the pandemic or even before the Ukrainian war. That is why I insist that the stimulation of the disposable income, the purchasing power of households is the only way. For this reason, the Budget, while it concerns 2025, is actually set for 2027, so that these revaluations are compensated and henceforth only fixed increases are kept in force every year.

It is, in other words, the financial documentation of a political road map, which keeps our country on a steady path of progress, seeking henceforth to translate the positive indicators of development into a tangible social result. Always, however, and we will insist on this, with prudence and moderation, which will prevent derailments such as those currently experienced by powerful countries that have been put under surveillance by the European Commission, such as France and Italy.

On the contrary, we promote a coherent reform plan for the state and a care plan for the citizen. All of this will certainly begin to be discussed in the relevant Committee, before the Budget is voted on in the Plenary Session of the Parliament, which will, I imagine, give both the opportunity and the necessary time for the opinions of the opposition to be heard. If they will agree, for example, to the 12 tax cuts included in the Budget, to the new reduction in social security contributions, for example, if they will agree to the annual pension increases, to the better salaries of civil servants. And clearly, as we will have the opportunity to discuss in a separate meeting before the Budget, with the legalization of permanent increases in the minimum wage.

And I invoke these measures not only because they describe where the country started from bankruptcy to become today a state of growth and new jobs, but also to say the obvious: that our mission is gradually to begin to be seen more and more the impact on disposable income of these important but sometimes impersonal numbers and indicators of the financial staff. The 2.2% growth, the 8.4% increase in investment, the zero deficit, the shrinking debt, all of these, after all, are the foundations that allow us to turn collective progress into individual progress.

Let me note a few more elements – Kostis will present them to us in much more detail later – which should be part of our political speech: the increase in resources for national defense – let me remind you that we spend a little more than 3% of GDP our defense spending – the increased resources for health – we detailed where health spending was in 2019, where it is today – the increased spending on education, the our initiatives on housing, on demographics, important initiatives on civil protection.

And finally, let us not forget – and I think it is worth emphasizing at every opportunity – the significant progress we have made in the war against tax evasion. For the first time, I believe, what has always sounded like a wooden slogan, “we will fight tax evasion”, turns into a tangible result. It is, I would say, essentially a deep social reform, one of those that some people told us could not be done in Greece. But they are happening.

In this way we can revise the Budget twice in 2024 to give more resources to the public investment program. In this way, we will once again support society with emergency help before the Christmas holidays. And of course, it is the results in the fight against tax evasion that will allow us to discuss from 2026 onwards even more stable and permanent tax reductions.

We know very well that the coming days and the discussion of the Budget are in no way suitable for big words, for celebrations, for what we have really achieved. I think it is perhaps an opportunity to start a new meaningful dialogue with Greek men and women, both for the good news brought by the Budget and for the better ones that are planned for the coming years. Focusing, of course, and I will say it again, to date the only costed action program that the country has, but also with the confidence that only this government can guarantee.

Allow me, finally, a comment on what is happening in the opposition. A while ago I had the opportunity to call and congratulate the new President of SYRIZA on his election. I hope that these new balances in the Parliament will turn out to be positive first and foremost for the quality of the parliamentary dialogue.

And certainly, the reshuffles in the opposition also transfer heavier tasks to PASOK. I look forward to our institutional meeting with Mr. Androulakis, who now and as the leader of the opposition is a political figure. But mainly I will expect from him and his party a more responsible attitude based on their new role. I insist on this because, unfortunately, his last positions were very reminiscent of SYRIZA. With great demagogic ease, he is asking for VAT to be reduced, for example, by 2 percentage points, which would alone cost 3 billion euros. And of course, let me remind you that the benefits he promised go beyond and above the European spending limit, which would automatically – I emphasize, automatically – put the country under surveillance.

So what we are asking of the opposition is obviously not to agree with everything the government does, that is not the job of the opposition. However, what the times require is first and foremost truth, seriousness, documentation, propositions of substance and not instant and unprepared, I would say, fireworks of demagoguery.

Thus, I close my introduction, considering that these recent changes in the seats of the Parliament, in a way, can become an opportunity for both the government and the faction, and perhaps the best possible moment to project the genuine social, progressive but also patriotic identity of our choices and I think another reason to forge our unity against anyone who tries to finally question what the citizens themselves chose to be act in the new Greece.

At the same time, these prospects of this year’s Budget give us the right to be moderately optimistic for both 2026 and 2027, in a course of prudence and determination that, despite the difficulties, will again turn out to be victorious for our faction. It is enough, obviously, to stay committed to our tasks and to implement what the citizens asked us to do with their vote and to remain consistent once again in the saying that has accompanied us since 2019, “we said it and it we did”.

So, let me close my introduction here and give the floor to the Minister to present to us in greater detail the elements of this year’s Budget.