According to information released by the National Economy and Finance Ministry, Greece’s parliament endorsed the 2024 state budget on Sunday, predicting a 2.9 percent increase in gross domestic product (GDP) in the upcoming year, up from 2.4 percent in 2023.
The budget was approved with 158 votes in favor out of the 300-member plenary, as reported by Greek national broadcaster ERT.
Speaking before the vote, Greek Prime Minister Kyriakos Mitsotakis mentioned that this is the first budget in 14 years following Greece’s achievement of an investment grade credit rating.
Mitsotakis stated that Greece has moved beyond the economic turmoil it faced during the decade-long debt crisis, as the nation was on the verge of collapse and was shut out of international bond markets. Greece is now concentrating on policies aimed at ensuring that everyone benefits from the economic recovery.
The prime minister also highlighted that the growth rates will lead to improved wages, a steady decline in unemployment, an increase in foreign direct investments, and a further reduction in public debt, which will allow for more measures to support households affected by inflation.
Mitsotakis anticipates the Greek inflation rate to drop to an average of 2.6 percent in 2024 from 3.9 percent in the current year. He acknowledged that inflation remains a challenge but noted that the worst seems to be over, as it had reached a 30-year high of over 12 percent last year amid the international energy crisis.
Addressing the issue of increased living costs, the government’s response is to increase citizens’ disposable income in order to enhance social cohesion, which is a primary objective in the months ahead, said Mitsotakis.
