The Deputy Minister of Finance Christos Dimasduring his speech today (12.12.2024) in the Plenary for budgetcited data and presented 12+1 key points proving that the Greece of 2025 is a better country, in terms of economy, than the Greece of 2019.
Our goal, said Christos Dimas, “is to continue this path in order to reduce taxes even more and increase citizens’ incomes even more in 2025.”
In particular, he emphasized – among other things – that our country has returned to normality, having reduced 72 taxes to date, more than 500,000 new jobs have been created reducing unemployment from 17.9% to 9.7% and has increased wages , while achieving the fastest deleveraging of public debt ever recorded in the history of the eurozone.
“The 2025 budget reflects the stable and prudent policy that the Government has pursued in the last 5 years, taking into account both national and social needs, correcting many of the consequences of the crisis of the previous decade and raising Greece higher. 10 years ago we were discussing the possibility of a “first time leftist” government. Today, 10 years later, Greece has many and important differences regarding the course of the economy. We do not claim that everything is perfect. However, no one can dispute the fact that the Greece of the financial crisis and capital controls definitely belongs to the past. The country has regained the confidence of international markets and its allies. We will not allow anyone to dice our country. We owe it to ourselves, our children and our parents. Steadily, carefully and methodically, we are moving towards economic reliability and social progress, with the aim not only of not reliving the nightmarish days of the past, but to hand over to future generations a much better country, says the Deputy Minister.
The 12+1 key points of the budget
- More than 500,000 new jobs have been created. Unemployment in 2019 was at 17.9% while in 2025 it will be at 9.7%.
- We raised wages. In 2019 the minimum wage was 650 euros. Today it is at 830 euros. Every year it will increase, so in 2025 we will have an increase. Our goal is to reach 950 euros by 2027. Also, the average salary has increased and by the end of our term it will have reached 1,500 euros.
- Tax cuts for citizens, households and businesses. 72 tax reductions or eliminations from 2019 to date.
- Public debt. We have achieved the fastest deleveraging ever recorded in the history of the eurozone. And this is really important because we want to leave the next generations a better country and not the debts we inherited.
- Economic growth rate. Greece has more than twice the European average growth rates: 2.3% in 2023, 2.2% in 2024 and 2.3% in 2025, compared to 0.4%, 0.9% and 1.5% for the EU.
- The investments. From 2019 to 2024, investment in current prices has increased by 84%, the largest increase across the EU.
- Real GDP per capita. According to the official data of Eurostat, it increased by 8.5% in our country, compared to 3.3% in the EU.
- Average disposable income. It increased by 22.9% compared to 18% in the EU, while its increase is considerably higher than the cumulative increase in prices (13.1%).
- Dependent labor wages. In 2025, an increase of 3.4% is predicted. And wages per employee by 2.7%, i.e. at a rate greater than inflation which is expected to decline to 2.1%.
- Primary surplus. We will have the fourth highest in the entire European Union, with the overall deficit reaching zero, which is very important at a time of international turmoil.
- Cracking down on tax evasion. Tax revenues are increasing without increasing taxes because the economy is growing and tax evasion is being reduced with interventions such as the interconnection of 430,000 POS with cash registers in 2024 alone and with AADE’s myDATA. In this way, the Government achieves not only positive economic results, but also confronts the social injustice of tax evasion, improving citizens’ trust in the state.
- Health and defense. The consolidation of state finances allows us to increase spending on health by 74% and on defense by 73% compared to 2019. In particular, spending on hospitals increases by 120% over the same period. In this direction, resources from the limitation of tax evasion were utilized. In terms of defense spending, we are proceeding with the reinforcement of equipment programs, and the receipt of the Belharra frigates is expected, among other things. We actively support the Armed Forces, and shield our national security.
- 12+1, thanks to significant economic growth and a crackdown on tax evasion, there will be emergency support measures before Christmas.