Greece achieved a primary surplus close to 3% of GDP and an overall (fiscal) deficit nearing zero in 2024, said the Minister of National Economy, Kostis Hatzidakis, speaking yesterday at the founding event of the think tank Synergia, held in Athens. He further emphasized that the additional revenue – as in previous years – will be returned to society through new reductions in direct taxes, which will be announced within the year. He also highlighted that further attention will be given to microeconomic policy moving forward.

Referring to the results achieved in 2024, Mr. Hatzidakis stressed that the government has remained on the path of fiscal prudence. “We achieved a primary surplus even higher than the one projected in the 2025 budget, close to 3% of GDP. This means a deficit that is nearly zero. This sends a very strong message in times of instability, such as the ones we are living through now, that Greece can withstand even strong winds if they arise. That’s what we’re working for. Because the work of a good householder is to consider the negative scenario, not to take reckless risks. Especially after everything that happened during the past decade,” the Minister said.

As reported yesterday by newmoney.gr, Mr. Hatzidakis, speaking at the same event, pointed out that the results of 2024 – which will be confirmed in the early part of this year – are due, among other things, to the additional revenue coming from reduced tax evasion, which now amounts to nearly 2 billion euros, a performance that has no historical precedent since the post-junta period, as well as from the higher-than-expected economic growth compared to the budget projections.

“Whatever more we can and is allowed by European fiscal rules, goes back to society. We’ve already reduced over 70 taxes, while we’ve increased public investments for development and cohesion actions. The fight against tax evasion isn’t just an economic issue, but also a boost to social policies,” emphasized the Minister. Referring to the planning for 2025, he stated:

“This year will be a year of significant further tax cuts for the middle class. Unless there is an unpredictable, uncontrollable international crisis, continuing the fight against tax evasion (with digital dispatch notes and invoices, POS, etc.) will allow us to reduce direct taxes. We insist on direct taxes because we believe that reductions in these are not pocketed by intermediaries, as happens with indirect taxes, but go directly into the taxpayers’ pockets.”

The Minister of National Economy and Finance also noted that, having achieved fiscal stabilization, the government’s effort will shift from macroeconomic to microeconomic policy. “We will give even more importance to issues such as attracting and facilitating investments, encouraging exports, enhancing competition, and supporting the competitiveness of the economy. In order to accelerate our pace as much as possible and take all the initiatives that will support the Greek economy.”

“We are not miracle workers and no economy is in a protective bubble,” concluded Mr. Hatzidakis. “If things proceed normally, and perhaps even a little worse than normal, as we are always conservative in our projections, we will proceed with further salary increases and tax cuts, which will be announced by the Prime Minister in the fall at the Thessaloniki International Fair (TIF).”