Government presents 2026 budget with major tax reforms
The government will present the final draft of the 2026 State Budget to Parliament on Thursday, outlining tax cuts and income support for the middle class, young people and families with children. Minister of National Economy and Finance Kyriakos Pierrakakis said the plan remains consistent with the preliminary draft submitted in October.
The budget forecasts GDP growth of 2.4% next year, driven by a strong rise in investment, lower unemployment—expected to fall to 8.6%, the lowest since 2008—and easing inflation at 2.2%. Nominal GDP is projected to reach €260.9 billion, up from €249.6 billion this year.
A major pillar of the budget is an extensive tax reform aimed at boosting disposable income and reducing tax burdens for households, employees, pensioners, farmers and freelancers. The government expects these measures, combined with earlier announcements at the Thessaloniki International Fair, to further accelerate economic momentum.
