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

Brace yourself: Energy, internet and insurance costs to rise in Australia from July

Australians are being urged to prepare for rising household bills starting July with energy, internet, and insurance costs set to increase.

Inside postwar Thessaloniki: Gonda Van Steen on Charles Schermerhorn’s mission

On 17 May 1946, the American social worker Charles Schermerhorn arrived in Greece. He arrived at a critical time.

Rhodes Old Town bars slammed for overcharging tourists

Rhodes’ picturesque Old Town is under fire for reportedly scamming tourists with overpriced drinks, according to numerous reviews.

Athens to begin 24-hour public transport pilot from July

Athens will roll out its first-ever 24-hour public transport service on Saturday, July 5, as part of a new pilot program.

Magna Graecia – Part 1: Hellenism beyond the homeland

When we think of ancient Greece, Athens often dominates both our imagination and historical discussions.

You May Also Like

COVID-19 Australia-Cyprus Forum to compare responses to the pandemic

The Australian Alumni Association of Cyprus will present the COVID-19 Australia-Cyprus Forum with the Australian High Commission in Cyprus.

New committee elected to lead Victoria’s Greek National Day Council

A new executive committee to lead Victoria's Greek National Day Council was elected at a meeting on Monday, May 13.

Special Ks secure first round doubles win at US Open

Nick Kyrgios and Thanasi Kokkinakis have defeated France's Hugo Gaston and Italy's Lorenzo Musetti at the US Open