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




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


Latest News

Australian Business Summit Council launch fifth issue of ‘Ekonomos’

The Australian Business Summit Council Inc. hosted 250 business leaders, diplomats and politicians at its lavish Annual Gala Dinner.

Dora and George Hatzikiriakos’ fish and chip shop among the best on NSW South Coast

The Eurobodalla on the NSW south coast is home to some of the best fish and chip joints. "Harzikiriakos' Ocean Grill is one of them.

Two Greek beaches among Tripadvisor’s top European beaches for 2024

Greece saw two beaches included in Tripadvisor’s Best Beaches in Europe for 2024, as part of its annual Travellers’ Choice Awards.

Festival Hellenika to host ‘Magna Graecia’ film screening in SA

Festival Hellenika will host the ‘Magna Graecia: The Greko of Calabria’ talk and short film screening on Friday, May 31 at 7pm.

‘From Imbros over the Sea’ exhibition to be displayed at Melbourne’s Greek Centre

The northern Aegean Island of Imbros and its population played a significant but little appreciated role in the Gallipoli campaign.

You May Also Like

Greek woman becomes first female Secretary General of the European Court of Human Rights

Marialena Tsirlis, a Greek native, is the first woman to be appointed Secretary-General of the European Court of Human Rights (ECHR).

US hold live-fire drill at Mount Olympus following major base deal

In Litochoro, at the foot of Mount Olympus, army aviation forces from Greece and the United States are taking part in a live-fire exercise with attack helicopters, marking deepening defence ties between the two countries.

Australia’s oldest Greek cafe and milk bar to reopen with new owners

After opening in 1902, the cafe has been run by Greek-Australians continuously throughout its history.