Ambitious new budget revealed for Greece, tax cuts in 2020

·

Greece is aiming for higher investment and tax cuts to assist with economic growth in 2020 as the country recovers from a decade-long debt crisis.

Greece has revealed an ambitious budget for next year that assumes growth will accelerate to 2.8 per cent from a projected 2.0 per cent this year, driven by higher investment inflows and cuts in corporate and personal income tax.

Theodoros Skylakakis, deputy finance minister, said on Monday the centre-right government was also committed to achieving a 3.5 per cent primary budget surplus next year — before making debt repayments — as agreed with Greece’s international creditors.

The finance ministry plans to boost revenues by raising the percentage of electronic payments required to earn tax breaks and at the same time increase annual taxes on luxury second homes outside big cities.

Investment is projected to rise 13.4 per cent in 2020 compared with an 8.8 per cent increase this year. Private consumption would rise by 1.8 per cent against 0.6 per cent in 2019, according to the budget.

Greece also said on Monday it had hired several international investment banks to reopen its March 2029 debt issue, as it looks to take advantage of a sharp fall in its borrowing costs.

Greece, once the focus of the eurozone debt crisis, returned to the international bond market this year and saw its borrowing costs hit record lows as eurozone government bonds surged.

Greek 10-year government bonds yielded 1.442 per cent on Monday afternoon, down from more than 3 per cent in March.

Source: ANA

Advertisement

Share:

KEEP UP TO DATE WITH TGH

By subscribing you accept our Terms of Service and Privacy Policy.

Advertisement

Latest News

George Polites loses bid to delay investigation into late mother’s estate

George Polites has failed in his attempt to block an administrator from launching a probe into his management of his late mother’s estate.

Panathinaikos captain sports special jersey ahead of Pavlos Giannakopoulos tournament

Panathinaikos captain Kostas Sloukas has been seen sporting the club’s limited-edition jersey ahead of Pavlos Giannakopoulos Tournament.

Greek actor Petros Filippidis handed suspended prison sentence for attempted rape

Greek actor Petros Filippidis was sentenced to three years in prison with a three-year suspension by the Athens Mixed Jury Court of Appeal.

Greece’s Foreign Minister visits Tripoli to strengthen Greek-Libyan ties and promote dialogue

Greek Foreign Minister George Gerapetritis met with Libyan officials in Tripoli on Tuesday, July 9, as part of efforts to strengthen ties.

Australia’s Cypriot communities to mark 51 years since Turkish invasion of Cyprus

Cypriot communities across Australia are preparing a series of events to mark the 51st anniversary of the Turkish invasion of Cyprus.

You May Also Like

Meet the Greek Australian doctor fighting to save Indigenous children’s lives

Professor Jonathan Carapetis, renowned paediatrician and infectious disease expert, hopes to close the health gap for Indigenous children.

Thessaloniki at Christmas: Rich history, culture and festive charm

Each December, Thessaloniki transforms into a winter destination, composing a blend of rich history, culture, and Christmas charm.

Kostas Karamanlis will not take part in Greece’s upcoming general elections

Former conservative Prime Minister of Greece, Kostas Karamanlis announced on Tuesday that he will not take part in next general elections.