Greek government fiscal and political strategy

Greek government spokesperson Pavlos Marinakis has signaled the introduction of permanent and horizontal fiscal measures to be unveiled at the Thessaloniki International Fair (TIF). These policies aim to support the middle class, businesses, public employees, and retirees by focusing on increasing wages and pensions, reducing taxes, and job creation.

Marinakis emphasized that the government prefers permanent measures over temporary subsidies to address the cost of living. He defended the administration’s economic approach, noting that 83 direct and indirect taxes have already been reduced. In response to political opposition, Marinakis dismissed certain economic proposals as “unfunded promises,” specifically citing the high costs associated with opposition leader Alexis Tsipras’s pledges. He estimated the cost of Tsipras's proposals at 13.5 billion euros, noting that the EL.A.S. housing program for 50,000 homes alone carries an estimated 8 billion euro cost. Marinakis also cited the 1.5 billion euro cost of reintroducing a 13th month salary for public employees as a measure the state cannot currently afford.

Following Prime Minister Kyriakos Mitsotakis’s speech at the 90th TIF, Marinakis outlined specific initiatives. Economic measures include a gradual increase of the minimum wage to 1,000 euros by 2028 and a 30% reduction in wholesale electricity prices by 2029. Social policies include a 2 billion euro ‘My Home III’ program, an investment account for newborns where the state doubles annual deposits, and zeroed income tax for households with three children earning up to 20,000 euros. Additionally, the government plans to increase support for pensioners over 65 and provide tax exemptions for farmers earning up to 20,000 euros.