Greek Government Takes Measures to Restart Local Economy

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This was stated, by the Minister of Finance, Christos Staikouras, who also described the network of short-term policies that will support the restart of the economy.

The cost of the support measures will approach 15 billion euros this year, with a target to reach 39 billion euros in the next two years. 

Amongst the measures aiming to boost the entrepreneurship and the foreign investments are:  

• The “BRIDGE” Program for the subsidizing of loans to businesses, as well as the new guarantee program through banks for very small businesses. 
• Subsidy of part of the fixed expenses of companies and additionally, the non-refundable subsidy to small businesses. 
• Implementation of targeted programs to support sectors of the economy through the NSRF (e.g., catering, tourism, gyms, playgrounds etc.). 
• Coverage of insurance contributions and additional subsidy for the long-term unemployed and seasonal, through the 100,000 new job creation program (for 6 months). A measure that will further reduce the current labor cost. 
• Training programs of the Ministry of Labor (with OAED). 

• Strengthening of tourism industry through programs supporting local visitors. 
• Arrangements of tax and insurance obligations 
• Reduction of ENFIA (Property tax) by an average of 22%. 
• Reduction of the profit tax rate for all companies from 28% to 22%. 
• Reduction of the tax rate for dividends from 10% to 5%. 

• Reduction of the tax advance for legal entities from 100% to 80% and for all agricultural schemes by 10% 
• Reduction of insurance contributions by 1% and by 3 more percentage points of private employees’ sector for 2021 and 2022. 
• VAT reduction on transport, coffee and non-alcoholic beverages, cinema and theatre tickets until September 30^th, 2021  
• VAT reduction on tourist packages until December 31^st, 2021 

For further information please contact Mr. Kostas Sakkas, Chief Accountant in our offices in Greece, at athens@eurofast.eu.

Eurofast is a regional business advisory organisation employing local advisors in over 23 cities in South East Europe & Middle East . The Organisation is uniquely positioned as one stop shop for investors and companies looking for professional services in South East Europe & the Middle East.  

5/5/21