Greece PM unveils €2.2bn aid plan before elections

Greek Prime Minister Kyriakos Mitsotakis announced a 2.2-billion-euro package of aid and tax breaks for 2027 on Saturday, the latest government measure ahead of legislative elections due next spring.

Mitsotakis, a conservative seeking a third term, said in a speech that he wanted “the benefits of growth to return to society”.

The announced measures include eliminating income tax for farmers earning less than 20,000 euros a year and cutting workers' social security contributions from April 2027.

He also announced an increase in the minimum wage, an annual allowance of 400 euros for pensioners and a gradual 30-percent reduction in wholesale electricity prices between 2027 and 2029.

The package follows other government-backed measures aimed at purchasing power. Last week, prices of more than 1,700 grocery and school supplies items fell by an average of 9.5 percent as a government-backed measure began. Petrol and diesel price reductions have also been in place for two months.

Greece's economy was hit by the decade-long debt crisis that began in 2008, and earnings have failed to keep pace with the rest of the European Union. The national statistics authority, Elstat, said more than 36 percent of private-sector workers earned less than 1,000 euros gross per month in 2025.