Greece prepares for critical political and debt reform announcements

Greece is entering a critical political and economic period this September. Prime Minister Kyriakos Mitsotakis is expected to make key announcements at the Thessaloniki International Fair, which analysts suggest will serve as an indicator of the government's political momentum heading toward upcoming elections. Political focus remains on the competition for second place between former Prime Minister Alexis Tsipras and the PASOK party.

Simultaneously, a significant change to the out-of-court debt settlement mechanism will take effect on September 21. This new framework introduces a primary residence protection scheme, allowing debtors to protect their main homes by liquidating other assets. Under these rules, debt write-offs and monthly installments will be calculated based on the property's value and the debtor's income rather than total assets, potentially offering improved settlement terms and a “second chance” for citizens to manage accumulated debt.