Mitsotakis introduces comprehensive support program
Prime Minister Kyriakos Mitsotakis has rolled out a €1.6 billion initiative aimed at tackling the country’s population decline. Speaking at the Thessaloniki International Fair, he described the plan as a measure to ease the financial burden on families and encourage young people to stay in Greece. The program, due to begin in 2026, combines broad income tax reductions with specific incentives for larger families, property tax relief in rural and island regions, and additional financial aid for pensioners and low-income households.
Falling birth rates heighten concern
The government’s announcement comes amid troubling demographic patterns. Data from the Hellenic Statistical Authority show only 71,455 births in 2023, one of the lowest figures in recent decades. Fertility levels remain below replacement rates, while ongoing emigration has left many communities sparsely populated, putting added strain on the pension system. Mitsotakis called the measures a necessary step to safeguard Greece’s long-term economic and social stability.
Debate over effectiveness and funding
The plan has already drawn scrutiny from opposition leaders and independent analysts, who argue that tax relief alone may not be sufficient to reverse deep-seated demographic trends. Experts emphasize that access to affordable childcare, stable housing, and job security is crucial for families considering having more children. Concerns have also been raised about the €1.6 billion cost and how it will fit within the country’s European Union fiscal obligations. The Finance Ministry is expected to release detailed legislative proposals in the coming months, with parliamentary debate planned before the program takes effect in 2026.
