Greece faces economic shifts in debt, wages, and inflation

Greece is facing several significant economic and legal developments. A new 120-installment debt restructuring plan for old tax and social security debts is expected to be finalized by late October. This measure, overseen by Minister Kyriakos Pierrakakis, will allow households and businesses to repay debts over a decade with a minimum monthly payment of 30 euros and an interest rate of 5.84%.

Regarding the labor market, the gender pay gap in Greece remains a persistent issue. In 2024, women earned an average of 13.4% less per hour than men, a figure that widens significantly with age, reaching 21.5% for workers over 65. This follows broader European trends where women are generally paid less than their male counterparts.

Inflationary pressures continue to drive up costs in Greece faster than in the Eurozone. Key drivers include high indirect taxation, significant energy dependence (78%), and limited market competition. Recent data shows sharp increases in natural gas and heating oil prices.

In a major legal ruling, the Council of State has established that the state, municipalities, or regions can be held liable for damages caused by illegal building permits issued near riverbeds. This decision emphasizes that administrative actions must respect both environmental protections and individual property rights, provided the river boundaries are legally defined.