Are increasing steadily month by month, instead of decreasing, overdue debt of Public To individuals, exacerbating the liquidity problem of many businesses who supply materials and offer services to government agencies, while there are large pending pensions (especially auxiliaries) and tax refunds.
An additional EUR 400 million were added to the State’s arrears last March, with a total debt reaching € 2,925 billion from € 2.53 billion in February. If these debts are taken into account and the pending tax refunds of € 723 million, then the total amount of public debts to the private sector is launched in the EUR 3,648 billion.
According to the data of the Ministry of Finance, the largest debtor constitute Public Hospitals which are steadily increasing their debts to suppliers. In the quarter of January – March they were “inflated” by € 325 million. Of the 1,164 billion euros at the end of 2024, they reached EUR 1,489 billion at the end of March 2025. The increasing course of hospital debts is impressive. From EUR 344 million in December 2019, to EUR 502 million in 2020, 606 million in 2021, 907 million in 2022, EUR 1,319 billion in 2023.
Delayed hospital payments have repeatedly been reported by the European Commission, which warns that they are affecting the durability and competitiveness of health -active businesses (mainly small and middle).
In the… hospitals begged and the acure funds. Their overdue debts were slightly reduced to € 582 million from € 604 million, but significant pending issuance remain in the issuance of auxiliary pensions.
By about EUR 90 million increased within one month (from 280 to 373 million) debts of Local Government Organizations (OTAs). The other legal entities owed € 227 million at the end of March, from € 195 million in February. The total amount of ministries’ debt amounts to € 242 million, of which 120 million only comes from the Ministry of Maritime and Island Policy.
Tax refunds
On the tax front, pending refunds decreased by 100m euros in March. They stood at € 723 million from € 824 million in February. Of these, EUR 316 million relate to refunds pending for over 90 days.
The paradox, however, is that EUR 234 million of them cannot be returned due to lack of data (IBAN etc.) or response from the beneficiaries. The remaining amount (EUR 408 million) are refunds within 90 days.
In any case, there is a problem that is reflected in the liquidity of freelancers and businesses and therefore in the real economy.