Increases in salaries and pensions, a reduction in bank fees, funding for Health and expansion of measures against tax evasion, are included in the Budget 2025presented by the Minister of Finance, Kostis Hatzidakisduring his speech today (11.12.2024) in the Plenary of the Parliament.
In the context of the debate on the 2025 budget, the issues of increasing the minimum wage, increasing pensions, reducing unemployment and implementing important infrastructure projects will be raised. Mr. Hatzidakis confirmed the reduction of bank fees in 2025, while leaving open the “window” for further tax reductions within 2025.
In more detail, the 9 positive developments for 2025 are:
1. Increase in the minimum wage from April 1, 2025. The minimum wage has already increased from 650 euros in 2019 to 830 euros in 2024, while the average salary is correspondingly increasing, which from 1,046 euros in 2019, today, based on the data available from ERGANI, stands at 1,445 euros. “We will keep our commitment to a minimum wage of 950 euros and we will more than meet our commitment to an average wage of 1,500 euros in 2027.”
2. Increase in pensions by 2.4%about as much as the forecast for inflation.
3. Reduction of inflation from 2.7% in 2024 to 2.1% in 2025with a downward trend also for food inflation, which is at a level lower than the European average.
4. Unemployment down to 9.7%with conservative forecasts, for the first time below 10% in 15 years. “More than 30,000 who are currently unemployed will find a job in 2025”, emphasized the minister.
5. Continue the effort to tackle tax evasion with new tools: Universal application of myDATA for the statement of income – expenses, Digital Customer List, Digital Shipping Note, extension of the Electronic Invoice. “Good news for consistent taxpayers, for more tax fairness, which I would expect from the Left to applaud, and of course the fight against tax evasion means further tax reductions in 2025 as well,” noted Mr. Hatzidakis.
6. Reduction of bank commissions with interventions to be announced in the coming dayswhile lending rates – as in the eurozone as a whole – will follow a downward trend. “We are creating conditions for more healthy competition in the banking system. With the aim of banks granting more loans to businesses and households and contributing substantially to tackling the housing crisis. The initiatives are being launched now and will take shape in 2025,” the minister emphasized.
7. Increase health funding by 13.2% in 2025 compared to 2024and 74.4% compared to 2019.
8. Implementation of important infrastructure projectssustainable development and social cohesion that change the everyday life of citizens. Specifically in 2025:
- The extension of the Thessaloniki Metro to Kalamaria is completed and handed over to the citizens.
- The renovation of dozens of hospitals and health centers throughout Greece is being completed.
- The “My Home 2” program is launched, with which more than 20,000 additional new couples will acquire their own home. An important step in addressing the housing problem.
- The National Land Registry is completed, creating better conditions for citizens and investors.
9. Start of operation of the first non-state universities from September 2025. “Greece will cease to be a global exception and will gradually become an international educational center”, underlined the minister.