Mitsotakis details family and youth incentives
Prime Minister Kyriakos Mitsotakis has announced a €1.6 billion initiative to address Greece’s shrinking population. Speaking at the Thessaloniki International Fair, he said the program is intended to relieve the financial strain on households and motivate young citizens to remain in the country. Set to take effect in 2026, the package features broad income tax reductions, targeted benefits for larger families, property tax cuts in rural and island communities, and additional support for pensioners and households facing high living costs.
Demographic challenges continue
The move comes as Greece grapples with persistent population pressures. According to the Hellenic Statistical Authority, only 71,455 children were born in 2023, one of the lowest figures in decades, while fertility rates remain far below replacement levels. Continued emigration has left many towns sparsely populated, placing additional stress on the pension system. Mitsotakis framed the measures as a critical intervention to secure the country’s long-term social and economic stability.
Questions arise over impact and financing
The package has drawn criticism from opposition parties and analysts, who caution that financial incentives alone may not reverse long-term demographic trends. Experts argue that affordable childcare, secure housing, and stable employment are also necessary to encourage families to expand. The €1.6 billion cost has prompted questions about how the program will fit within Greece’s commitments under European Union fiscal rules. The Finance Ministry is expected to release the full legislative proposal in the coming months, with parliamentary debate scheduled before the initiative is implemented in 2026.
