The Prime Minister of Greece Kyriakos Mitsotakis promised to increase pensions, reduce taxes and social security contributions. He also promised to increase the minimum wage in 2025, reported Reuters, quoted by BTA.
Missotakis made these promises at the opening of the Thessaloniki fair. They came at a time when thousands of people gathered to protest the high costs.
Missotakis said his government would create new jobs, pensions would increase by 2.5% next year and the minimum monthly wage would rise from 830 euros to 950 euros in stages by 2027. Mitsotakis added that social security installments will be reduced by one percentage point.
Greece continues to recover from the debt crisis, but in recent years has seen strong economic growth, which is forecast to be 2.5 percent this year.
Missotakis said that Greece has changed and the income from strong economic growth should be distributed in a balanced way and this should affect pensions and wages. He also pledged to maintain fiscal prudence in line with European Union rules.
"Today I am not carrying with me a bag of unreasonable handouts, but only suggestions for a useful and effective choice," said the leader of the center-right party "New Democracy", which is in power in 2019 and won a second governing term last year.
The special tax on the self-employed will be abolished next year, and €243m in revenue from an extraordinary tax on energy companies will be distributed to vulnerable citizens in December, the Prime Minister has promised.
Greece will also spend 1.6 billion euros in 2025 on its defense, Mitsotakis said. And in order to stop the decline in the birth rate, he promised to expand the housing plan and support the young with benefits and tax breaks.
Missotakis also promised to strengthen civil defense, support farmers who have been affected by climate change and reduce property tax for homeowners who insure their home against natural disasters.
According to sources, the government plans to spend €3 billion in 2025 alone, which is about 1.5% of GDP.
The post-pandemic cost-of-living crisis, the effects of devastating forest fires and floods, as well as some reforms, have alienated some core voters of the “New Democracy”, whose popularity has fallen according to opinion polls, Reuters recalls.
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