Commission OKs Greek State Budget for 2026

Greece is one of 12 European Union countries that have met the Commission’s new fiscal criteria, i.e. submitting budgets that entail limits on increased spending.

According to an announcement on Tuesday issued by the Commission, the cumulative rate of increase in Greece’s net expenditures in 2026 is higher than the maximum growth rate recommended by the EU Council.

However, given the flexibility provided by a national escape clause, the projected increase in net expenditures remains compatible with the relevant Council recommendations.

In particular, according to the Commission’s autumn 2025 forecast, Greece’s net expenditures are projected to increase by 3.8% in 2025, which marginally exceeds the maximum growth rate of 3.7% recommended by the Council.

This corresponds to a deviation of less than 0.1% of GDP in 2025. For 2026, net expenditures are projected to increase by 6.7%, exceeding the maximum growth rate of 3.6% recommended by the Council.

This corresponds to a deviation of 1.2% of GDP in 2026. In cumulative terms, i.e. compared to the base year 2023, the Commission projects an increase in Greece’s net expenditures of 10.5% in 2026, which exceeds the maximum cumulative growth rate of 10.3%, as recommended by the Council. This corresponds to a cumulative deviation of 0.2% of GDP.

Source: tovima.com