The country’s municipalities will continue to have an increase in resources in 2026, but within the limits allowed by budgetary conditions, the Minister of National Economy and Finance, Kyriakos Pierrakakis, stresses in a post on social media.

Referring to the meeting he had this morning with the Board of Directors of KEDE, the minister underlines that from 2019 to date, the budget of municipalities has increased by about 1 billion euros. In 2025, they received about 100 million euros more, while in 2026, a new increase of 80 million euros is expected. He stressed that “the budgetary margins are specific, as the spending rule strictly defines the amount and type of allowable expenditure” and “every available resource should be used efficiently and reach the final recipient, the citizens.”

Specifically, in his post, Minister of National Economy and Finance Kyriakos Pierrakakis said:

“With Thodoris Livanios and Thanos Petralias, we welcomed the Board of Directors of the K.E.D.E.

During the meeting, the intention of the Greek Government to further strengthen the Local Government, in terms of transparency, accountability, and fiscal discipline, so that every available resource is used effectively and reaches the final recipient, the citizens, was underlined.

From 2019 to date, the budget of municipalities has increased by approximately 1 billion euros, which reflects the Government’s consistent political choice to actively support local government.

We stressed that the fiscal margins are specific, as the spending rule strictly defines the amount and type of spending allowed, to maintain fiscal balance and the sustainability of public finances.

Nevertheless, municipalities will receive additional funding of €100 million for 2025, while a new increase of €80 million is foreseen for 2026, as part of the gradual strengthening of the resources and financial autonomy of local authorities.

In addition, the Ministry of Finance will promote a legislative regulation for the return of 60% of the revenues from the use of the coastal areas directly to the municipalities, with faster payment of the relevant amounts.

Finally, the bill for the implementation of the National Development Programme (NDP), from which municipalities also benefit, will be submitted soon, to accelerate projects with measurable developmental and social benefits for local communities.”