Greece's sovereign debt tops €400 billion under New Democracy

Under the New Democracy government, Greece’s central‑administration public debt rose from €353 billion in 2019 to an estimated €400.5 billion by 2026, with a mid‑term peak of about €406 billion. The increase is linked to continued repayments to European support mechanisms (≈€216 billion) and high internal borrowing, including repos of roughly €59 billion. Critics note that despite the debt’s size, cash reserves remain limited, with net liquid assets around €13‑20 billion.

At the same time, the Ministry of Finance launched a comprehensive package of eight measures aimed at relieving private‑sector debt. The reforms target more than 2 million households and businesses, offering options such as the “Katseli” law adjustments, a 72‑installment repayment scheme for older arrears, and a lowered threshold for out‑of‑court settlements (from €10,000 to €5,000). These steps are intended to address debt accrued during the pandemic and energy crisis, providing options like loan principal‑only repayments, housing protection, and extended repayment periods.