The government returns the fiscal surplus to society: The eight economic measures announced by Kyriakos Mitsotakis

With a package of eight new measures, the government is attempting to return the fiscal surplus to society, focusing on addressing the energy crisis, strengthening incomes, and managing private debt.

On the energy front, the diesel subsidy is extended for May, with support of 20 cents per litre. The cost of the measure amounts to €55 million and concerns diesel vehicle owners. At the same time, the 15% fertilizer subsidy continues until August, with an additional cost of €23 million and approximately 250,000 farmers as beneficiaries.

To support households, the income thresholds for rent reimbursement are increased: from €20,000 to €25,000 and from €28,000 to €35,000, while for single-parent families the threshold rises from €31,000 to €39,000, with an additional €5,000 per child. The measure, costing €25 million, is expected to cover an additional 70,000 renters, bringing the total to 1 million.

In addition, an extraordinary financial allowance of €150 per child is provided at the end of June, with a total cost of €240 million and approximately 975,000 eligible households.

For pensioners, the support increases from €250 to €300 net each November, while income and asset criteria are expanded. The measure concerns pensioners, uninsured elderly persons, and people with disabilities, with a cost of €198 million and an additional 420,000 beneficiaries, reaching a total of 1.87 million people.

Particular emphasis is also placed on private debt. Measures include the possibility of lifting bank account seizures under certain conditions, expansion of the out-of-court debt settlement mechanism to include debts from €5,000 to €10,000, and inclusion of older overdue debts in repayment plans of up to 72 installments. These interventions concern approximately 1.3 million individuals and 284,000 legal entities, with total debts reaching €95.3 billion.

The package aims to alleviate financial pressures and support broader social groups during a period of increased needs.

Statement by Kyriakos Mitsotakis on the support measures

The National Statistical Authority has just announced the final fiscal data for 2025, and they are very encouraging. At the same time, however, I am well aware that difficult international conditions are increasing the daily burden of the already high cost of living for our households.

For this reason, I insist that every collective success should gradually translate into individual prosperity.

Indeed, the national economy is resilient and performing better than expected. However, supermarket costs, children’s expenses, higher fuel prices, and care for the elderly remain—across Europe and in our country.

That is why today I announce a set of relief regulations that apply to the entire population, as a dividend of progress that the state returns to society.

This surplus resulted from prudent fiscal policy, which limits unnecessary public spending and combats tax evasion, strengthens growth by supporting income, reduces taxes, and lowers public debt.

A surplus, in fact, higher than expected—something extremely rare even among the strongest economies.

This is also why our targeted interventions are aimed at the many, without ever undermining fiscal stability. They thus form another “buffer” against the current crisis, mainly for families with children, pensioners, renters, farmers, businesses, and millions of citizens with overdue debts.

Specifically, the following will apply in the coming period:

• The diesel subsidy at the network is extended by 20 cents for the month of May. A measure that clearly relieves businesses and consumers.
• The fertilizer subsidy of 15% continues until August, based on the value of purchase invoices. A measure potentially affecting 250,000 farmers and legal entities in the primary sector.
• An extraordinary allowance of €150 per child is granted to families. It will be paid automatically at the end of June, covering nearly 1 million households with more than 3 million members—around 80% of families with children.
• The support for low-income pensioners, uninsured elderly citizens, and people with disabilities increases to €300 net, paid every November on a permanent annual basis. The eligibility pool is expanded to 1.9 million beneficiaries, about 85% of pensioners over 65.
• Income thresholds are also increased so that one annual rent payment can be returned to more beneficiaries. This benefits an additional 70,000 households, supporting over 1 million renters in total (86%).

Let me also highlight our bold initiatives on private debt, which help millions of debtors while also freeing economic activity:

First, the seizure of a debtor’s bank account may now be lifted if 25% of the debt has been repaid and obligations to the tax authority have been settled.

Second, debts from €5,000 to €10,000 are now included in the out-of-court settlement mechanism, benefiting around 300,000 people.

Third and most importantly, overdue debts up to December 2023 can now be included in a 72-installment plan, provided that any new debts after 2023 are paid or settled.

The above measures will be presented in detail by the economic team. Their cost is approximately half a billion euros. They are added to the current budget measures and the major tax reform already being implemented, as well as the increase in the minimum wage and the improvement of annual incomes for 2026, and the €300 million already allocated as a shield against the consequences of the conflict in Iran.

I know many will argue that the measures are insufficient. Indeed, no state, however strong, can fully address the consequences of a global economic crisis alone. But this is the best we can do without disrupting the fiscal balance we have worked so hard to achieve.

It is the share of security and progress that Greece is achieving in an uncertain global environment and sharing with its society.

And it is also a message of hope that the efforts of Greek citizens are producing results, and that despite difficulties, we can remain optimistic.