Following Kyriakos Mitsotakis’ announcement of economic support measures worth €300 million, Kyriakos Pierrakakis and Thanos Petrailias explain and analyze the distribution and specific measures in a press conference. The minister and deputy minister of National Economy and Finance are set to clarify the assistance that will be provided regarding gasoline, ferry services ahead of the upcoming tourist season, and fertilizers.
“Crises know no borders and crises know no adjustment time. They are immediately transferred to energy, the economy and citizens’ daily lives,” Kyriakos Pierrakakis began. The minister emphasized that tensions in the Middle East quickly transformed into economic pressure and noted that the closure of the Strait of Hormuz has removed 15 million barrels daily. “Thus, there is a very significant supply deficit globally,” he concluded. “At the same time, approximately 20% of global LNG supply passes through the Strait of Hormuz, so it has been affected, while Europe prepares for the next winter,” Mr. Pierrakakis continued. “Simply put, when energy prices rise, the entire economy is affected.”
“Precisely because we don’t know the duration of the crisis, we must move gradually and responsibly. We cannot provide all fiscal tools at once. Political responsibility is not exhausting all measures from day one, but watching developments and acting accordingly,” he commented.
The measures
Kyriakos Pierrakakis spoke about diesel fuel used in production. “Our decision is that the diesel fuel subsidy is 16 cents per liter, so that with taxes it reaches 20 cents per liter. In 2022 it was 15 cents per liter,” he said about the first measure. “If needed for the two-month period, the cost will be €106 million.”
The fuel pass subsidy has been designed so that the liter reaches 36 cents, the minister also emphasized. The funds correspond to both taxis and Public Transportation, he also noted, speaking of “essentially a card for unlimited trips,” said Kyriakos Pierrakakis, who emphasized: “We are not supporting fuel, we are supporting mobility.
“The state will subsidize 15% of the value of fertilizer purchase receipts for the next two months,” he said additionally, for the third measure.
“We will compensate ferry companies based on the discounts they already provide, to absorb the increases and keep prices down,” he said for the fourth measure, emphasizing that “it is estimated at €56 million annually.”
Kyriakos Pierrakakis said that taxation increases for gambling, such as casinos, emphasizing it will reach 20% from 15% and noted that “revenues are calculated at €100 million annually.” The Minister of National Economy and Finance commented that “we don’t want to leave any Greek citizen alone,” while giving the floor to Thanos Petrailia. The Deputy Minister of National Economy and Finance then spoke in detail about the measures.
