Greece is entering a new phase of dynamic economic growth, prioritizing both extra citizen benefits and strategic investments. With a projected €10 billion surplus for 2025, the government is paving the way for a historic social support package in April 2026, while other European nations face fiscal constraints and austerity pressures.
During the Prime Minister’s announcements at the Thessaloniki International Fair, he highlighted the major tax reform for the middle class and families with children, marking the official countdown for drafting the new Budget, with a preliminary submission to Parliament scheduled for October 6.
Today, technical teams and EU institution leaders arrive in Athens to verify that the new Greek Budget successfully balances social support, strategic investments, and fiscal stability.
Green Light for New Benefits
The 2026 Budget will feature exclusively positive measures for households and businesses, including:
- New benefits worth €1.75 billion, including public sector wage increases and tax relief for youth, families, and pensioners.
- A €16.5 billion investment package, the largest in the history of Greece’s Public Investment Program, nearly double previous years.
- Maintaining a primary surplus above €10 billion, despite price pressures and global economic uncertainty.
The government expects that the consistent overperformance of state revenues, mainly through reduced tax evasion, will allow a “sustainable fiscal margin” to return directly to citizens via benefits.
Coming Soon: Extra Package
Athens plans a second round of support measures in April 2026, contingent on successful Budget execution, including:
- Targeted support for vulnerable groups (e.g., rent bonuses).
- A €250 bonus for pensioners, replicating successful measures from March-April 2025.
The government aims to demonstrate to EU institutions that this fiscal outperformance is not temporary, but has permanent and measurable characteristics, laying the foundation for a new generation of benefits.
Investment Tsunami and Growth
Key to achieving these goals is full utilization of Recovery and Resilience Fund resources, with €16.5 billion in investments in 2026, ensuring no euro is left unused. This investment surge is expected to keep economic growth above 2% in 2025 and 2026, even if Q2 2025 growth is revised downwards. Meanwhile, the forecasted inflation decline to 2.2%-2.3% strengthens the potential for pension increases above 2.2% in 2026, providing additional relief to citizens.
Institutions Seal the Bet
Today, representatives from the ECB, ESM, and European Commission will review the Greek Budget in the semi-annual post-program monitoring, paving the way for the allocation of the €10 billion primary surplus.
Government sources emphasize that if the positive trajectory continues, Athens will be able to announce benefits every six months, creating a continuous framework of support and social relief, while ensuring fiscal stability and strategic investments.
Greece demonstrates that, even amidst European crises and uncertainty, it is possible to combine social support, investment strategy, and economic responsibility, setting a benchmark budget that strengthens both growth and social cohesion.
Source: pagenews.gr