Mitsotakis Allocates €1.76 Billion to Support Children, Families, and New Housing Programs

In a landmark initiative for Greek policy, Prime Minister Kyriakos Mitsotakis unveiled the first comprehensive national demographic strategy at the conference “Demographics and Greece 2040: Family, Economy, Modern Lifestyle”.

The strategy allocates a total of €1.76 billion for 2026 to support children and families, offering tax relief based on the number of children, rent subsidies for young couples, and access to homeownership through the “My Home 1” and “My Home 2” programs.

“We must understand what it means to raise children, and we have decided to support these families,” the Prime Minister said, describing the family as the nucleus of social cohesion.

Statistics and Analysis:

• Birth rates in Greece remain low, with total fertility below 1.3 children per woman. Mitsotakis noted that this is not a uniquely Greek problem, citing Singapore (1.0) and South Korea (0.8).
• Unemployment has dropped from 18% in 2019 to under 8% today, creating a labor shortage that underscores the need to support families and rural communities.
• In rural areas, the government aims to abolish property tax (ENFIA) for villages under 1,500 residents, to stabilize population and economic activity.

Housing and Rent Programs: Measures include:

• Subsidized mortgages for young couples
• Rent refunds of approximately €800, equivalent to an average 8% reduction in rent
• Encouragement of banks to provide attractive housing products for young couples

National Dimension and Labor Market: The Prime Minister emphasized that demographics are a critical national issue, with economic and social consequences, especially for rural areas. He also highlighted the importance of legal immigration to meet labor market needs without affecting Greek workers.

Private Sector Engagement: Mitsotakis called on the private sector to support families by:

• Providing workplace childcare facilities
• Rewarding employees who have more children

“The higher the economic growth and inflow of public funds, the greater our ability to implement supportive measures for society,” Mitsotakis concluded.

The strategy is cross-sectoral and comprehensive, covering fiscal, housing, social, and educational measures. Government projections indicate that investing in families today will boost population, strengthen employment, and enhance social cohesion for the future.