Mitsotakis announces broad support for families and youth
Prime Minister Kyriakos Mitsotakis has introduced a €1.6 billion initiative aimed at slowing Greece’s shrinking population. Addressing the Thessaloniki International Fair, he said the plan is designed to relieve the financial burden on households and encourage young citizens to stay in the country. Set to take effect in 2026, the program includes wide-ranging income tax cuts, targeted aid for larger families, property tax reductions in rural and island regions, and extra assistance for pensioners and low-income households.
Birth rates drop to record lows
The government’s move comes amid mounting demographic pressures. The Hellenic Statistical Authority reported just 71,455 births in 2023, one of the lowest totals in decades. Fertility rates remain below replacement level, and prolonged emigration has left many towns sparsely populated, adding stress to the pension system. Mitsotakis described the initiative as a vital measure to ensure Greece’s long-term economic and social stability.
Effectiveness and fiscal concerns debated
The package has sparked debate among opposition politicians and experts, who warn that tax incentives alone may not be enough to reverse deep-seated demographic trends. Analysts emphasize the importance of affordable childcare, housing security, and reliable employment in motivating families to have more children. Questions have also been raised about how the €1.6 billion cost will be managed within Greece’s European Union fiscal obligations. The Finance Ministry is expected to present detailed legislation in the coming months, with parliamentary debate planned before the program’s rollout in 2026.
