PM unveils economic plan for new term

In his first thematic press conference on “the economy, growth and employment” on Monday, Prime Minister Kyriakos Mitsotakis made three main announcements, provided that he is re-elected.

Firstly, he revealed that in 2024, he will introduce the new single wage scale for civil servants. 

Secondly, and in response to a question about the possibility of reducing employer contributions, Mitsotakis said that “it is in our intentions and we will be able to talk more specifically when we present in detail our program for the second four-year term.” 

Thirdly, Mitsotakis left open the possibility of new tax cuts in the future. He however focused during the press conference on what has already been done during the current administration, stressing that all taxes for which there was an election commitment had been reduced.

At the same time he also noted the extraordinary tax cuts were reduced as were overall taxes on capital and dividends for businesses.

Moreover, he added that the reduction in employee and employer contributions and tax reductions for farmers were also significant. 

The PM also insisted that, as he had promised during the last election campaign, he returned to the middle class what the previous leftist-led government under Alexis Tsipras had taken from them. 

Asked, however, whether it is his intention to introduce new support measures before the elections, Mitsotakis said that everything will be decided at the end of February, when there will be a better picture of budget execution. 

“We should press the pause button and look at the already important interventions that have already been launched, such as the Market Pass, for example,” he said, urging “restraint and patience.”

Regarding the country’s investment grade and whether it is influenced by political developments, Mitsotakis said that obviously the investment houses and the markets are waiting to see what will happen in the elections.

“I firmly believe that if the Greek people trust us again it will be a matter of a few months before we get investment grade. I wonder if our political opponents can say the same with the same confidence,” he added, concluding that “if there is instability or a government that follows another program, then we will not see investment grade even with binoculars.”

He also noted that the biggest problem at the moment is inflation, insisting that market control is not a simple matter, but “for the first time we have legislative and regulatory tools.”