The Minister of Finance left open, Christos Staikouras, the possibility of additional favorable interventions for the citizens, although if the growth rate exceeds 5.9% this year, while at the same time underlining the government’s readiness for new interventions to address imported inflation, if it expands or extends to 2022.
In an interview with the newspaper “Macedonia” of Thessaloniki, through the premises of the 85th TIF, the minister also stressed that the will and policy of the government for 2022, is the largest part of society to pay less ENFIA, while adding that in Within the framework of the Recovery Fund, the citizens of Thessaloniki and Northern Greece can feel safe that “in the next period, many, many more projects will ‘run’ in the region”.
For the possibility of additional tax reliefs
More specifically, when asked if citizens should expect more tax relief in case the growth rate for 2021 exceeds the revised 5.9% (compared to the initial forecast of 3.6%), Mr. Staikouras replied: “It is obvious that as much as The higher the rate of economic growth, the more medium-term budgetary margins are created so that we can make additional interventions (…) even more so Greek society “.
For ENFIA
Asked about the reduction margins of ENFIA, the Minister of Economy confirmed that “the will and policy of the government in 2022 will be the largest part of society to pay less ENFIA”, but clarified that it would be “too early” to do so. estimates of its reduction margins before the exercise of the incorporation of fair values into the new tax rates is completed. “I am not hiding anything, the exercise just needs to be completed, for new rates to emerge, for the new ENFIA to emerge, to see what margins we have to reduce it. If we do not have the result of the exercise, it is too early (to say more) “.
On whether the phenomenon of imported inflation is temporary
“There is indeed an external problem (with imported inflation), which seems to be temporary, and solutions are required from the State, where we can intervene. The first axis (where we can intervene) is to improve the disposable income of the citizen and with the announced policies, the money left in the wallet is higher than it was. The second axis is to carry out strict controls and the Ministry of Development does and will do even more intensive controls with the competent services. The third axis is the short-term interventions, initially until the end of the year, to help households “, he said, citing the increase of the heating allowance by 20%, but also other interventions, such as the one to zero any cost increase in wallets of citizens, announced by the Minister of Energy. “We are also ready, if it expands or extends (the phenomenon of imported inflation) and in 2022, to intervene,” he stressed.
Whether the measures announced by the Prime Minister are new or sufficient
Asked to comment on the criticism of the official opposition that the package of measures announced by the Prime Minister at the 85th TIF does not actually exceed 404 million euros, but also that it is a repetition of previous measures, Mr. Staikouras assured, first, that the amount of the new measures amounts to 3.5 billion euros, of which 1.1 billion will be given this year and the remaining 2.4 billion in 2022. Secondly, he stressed, the fact that some of these interventions were incorporated in the medium term and were pre-estimated financially, does not mean that they are not new measures.
“How is a new measure defined? I judge it as something that the State is coming to add to the wallet and the family budget, which did not exist before. So are new measures the extension of the abolition of the solidarity levy in 2022 for income in the private sector, the further reduction of corporate taxation to 22% from 24% or the extension of the reduced insurance contributions? Is it a new measure that in the repayable advance several companies will pay much less? Or the intervention for energy costs or the first stamp for young children looking for work, or that we had foreseen 100,000 subsidized jobs and came to add another 50,000? ” he wondered.
Realistic package of measures with specific targeting
As to whether these measures are enough for society and business to stand on their own two feet, the Minister of Finance stressed that he has heard conflicting criticism of the new package, on the one hand that it is very sparing and on the other that it is pre-election and therefore very big. “Both can not apply. The answer is that it is realistic and has a specific goal: to create new jobs, to stimulate growth and to strengthen social cohesion, “he stressed. He added that macroeconomic indicators show that something is probably moving satisfactorily. “I am not one to triumph or claim that there are no problems in the midst of an unprecedented health crisis, but only if one sees the rates of economic growth, one finds that we will probably cover more than two thirds of the 2020 loss this year,” he concluded.
Source: ΑΠΕ – ΜΠΕ.
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