New interventions to support citizens struggling to meet the rising cost of housing were announced by Finance Minister Kyriakos Pierrakakis. Specifically, at the 21st Athens Tax Forum 2025 of the Hellenic American Chamber of Commerce, the minister highlighted housing and demographics as two of the country’s biggest challenges for the coming years. Referring to the country’s development model, he noted that “Greece is now a country in motion“, emphasizing the importance of cross-border mergers and acquisitions.
Mr. Pierrakakis reminded of the interventions that have already been launched, such as the return of one rent payment to 80% of tenants and the reform of the rent scale, while emphasizing that targeted actions will follow in the coming period to further strengthen housing policy.
“We fully understand that housing is a very important issue. There is a segment of the population that struggles to meet rent payments. It is a very large part of the monthly budget of many families in our country“, Mr. Pierrakakis characteristically emphasized.
Pierrakakis on direct tax reduction
At the same time, the minister referred to the largest reduction in direct taxes since the restoration of democracy, emphasizing that “this is the most effective and best way to directly support citizens’ income“. He also focused on the demographic dimension of the new tax reform: “Demographics is not only about births, it is also about supporting the regions and integrating young people into the labor market“.
During the discussion with the President of the Hellenic American Chamber, G. Sarakakis and the President of the Chamber’s tax committee I. Stavropoulos, the Minister highlighted the following:
On the new tax reform
“We are currently discussing the bill of measures from the Thessaloniki International Fair which constitutes the largest reduction in direct taxes that has been achieved historically.
The total amount of the package is 1.76 billion euros, it is a tax reform with demographic characteristics and with emphasis on the middle class and the entire territory, with a medium-term cost of 2.5 billion euros. A package with a strong development character which is reflected in the draft budget.
This is the most effective and best way to directly support citizens’ income. For us there was no dilemma between direct and indirect taxes. We believe that we had to go directly to citizens, directly to each family from the beginning in order to make the most effective support possible and it is something we will discuss in detail in Parliament in the coming days“.
On demographics
“We are pleased because we have managed for the first time to make all the measures from the Fair part of a very cohesive narrative of a single change, the largest reduction in direct taxes since the restoration of democracy, but with a criterion, social and reformist, which comes and builds on the existential problem of our country for the coming decades which is none other than demographics.
Demographics is not only about births. Demographics is also about integrating young people into the labor market faster. Demographics is also about supporting the regions – the fact that property tax will be eliminated in villages within two years is demographic in the terms we discuss it“.
“We want more investments from the US”
“Bilateral relations between Greece and the US are stronger than ever. This is constantly deepening and strengthening. The truth is objectively that Greece for the IMF is not what it was ten years ago – much less fifteen years ago.
So, generally the Greek model is a model of movement and positive momentum forward. This is recognized by everyone. I would say, overall, Greece is perceived even at European level as a country in motion“.
We want to have more cross-border mergers and acquisitions. And if one looks at what we have done as a country in the last seven-eight months, we show overall to our partners in the European Union that we are absolutely open to this. And this is also a message not only within the European Union, it is certainly also a message to the other side of the Atlantic. We want more investments. It’s not just a slogan, we mean it and we intend to do as much as we can“.
The 3+1 recipe: digitization, sectoral policies, public property utilization and European strategy
“There are development opportunities that Greece can exploit. I would say there is a three plus one recipe. One part is to remove unnecessary bureaucracy from a heavy Greek state. Digitization achieved this to a large extent.
A second part is sectoral policies in areas where you can have an obvious development footprint. There are several examples, either with structural advantage, where the country has the infrastructure, whether we talk about real estate, or sectors that have obvious infrastructure as a country. The silver economy is something like that.
And, third, the utilization of public property which has many aspects. Whether it is the utilization of the Superfund’s property, or the assets we discuss with international investors like those discussed in the United States. And the plus one I would say is the European strategy“.
Recovery Fund
“And here this discussion connects with how one manages the funding at their disposal. I personally want to tell you that I am a supporter of the Recovery Fund architecture. Especially in relation to the old NSRF architecture. Why? Because when the Recovery Fund came, it “forced” us, each Minister, each state official to connect funding with a reform“.
