Greece’s Ministry of National Economy and Finance published parliamentary remarks by Kyriakos Pierrakakis on legislation to align national law with the European Union’s new fiscal rule, saying the framework creates EUR 1.5 billion of fiscal space for 2026. He argued that under the EU rule headline surpluses cannot be freely spent, and that usable fiscal space mainly comes from the budget impact of specific, agreed policy measures. The remarks cited a primary surplus of 4.8% and an overall surplus of 1.3%, and linked additional fiscal room to measures such as connecting POS terminals to cash registers. Pierrakakis pointed to a targeted EUR 1.1 billion package previously announced for returning one month’s rent, paying EUR 250 to pensioners, and increasing the Public Investment Programme. He also distinguished the EU defence escape clause, described as an exclusion of certain defence spending from the expenditure rule, from the SAFE instrument, and said Greece secured 2024 as the base year for the clause, yielding EUR 500 million of fiscal space.
Ministry of National Economy and Finance (Greece)2025-07-09
Greece’s Ministry of National Economy and Finance says the new EU fiscal rule leaves EUR 1.5 billion of fiscal space for 2026
Greece’s Ministry of National Economy and Finance proposed legislation to align with the EU's new fiscal rule, creating EUR 1.5 billion of fiscal space for 2026. Kyriakos Pierrakakis highlighted a primary surplus of 4.8% and an overall surplus of 1.3%, linking fiscal room to measures like connecting POS terminals to cash registers. He noted a EUR 1.1 billion package for rent returns, pensioner payments, and public investment, and clarified the EU defence escape clause, securing 2024 as the base year for EUR 500 million of fiscal space.