Greek economy posts 2% growth in Q1 2026 as investments, exports and tax cuts lift output

Greece's economy expanded by 2% in the first quarter of 2026, according to Finance Minister Kyriakos Pierarakis. He attributed the growth to a rise in private investment, higher export volumes and a reduction in taxes for households. The minister highlighted that the government’s fiscal measures – including cuts to direct taxes and relief for property taxes – aim to boost disposable income and help those affected by inflation, while the minimum wage has risen 46% since 2019.

Pierarakis also noted that the European Commission has removed Greece from the list of countries with macro‑economic imbalances, a step that he said will lower borrowing costs, increase investor confidence and spur further investment. He announced that Greece expects to no longer be the most over‑indebted EU member from 2027 onward, citing a comprehensive package of reforms for private debt and a new housing‑protection agency scheduled to launch in autumn.

The minister warned that a deepening crisis in the Middle East could trigger a larger response and said the issue would be discussed at the upcoming Eurogroup meeting in Luxembourg. Overall, the administration’s focus remains on sustaining growth, enhancing competitiveness and supporting households amid high prices.