His draft was submitted to parliament today, on Monday. budget for 2023, the main features of which will be the forecast of achieving a primary surplus, even a marginal one, as well as continued growth against the backdrop of an unfavorable climate that has created in Europe.

The main goal of the Treasury will be to send a message of fiscal stability in all directions.

The decisive element for 2023 is to convince the markets that the country is protecting at all costs what has been built with the efforts and sacrifices of all previous years, ministry sources told APE-MPE.

After all, one of the government’s key goals for 2023 is to reach investment grade, a goal that is becoming increasingly important at a time when eurozone bond yields are hitting one record after another.

According to statements recently made by Finance Minister Christos Staikouras, growth in 2022 will be 5.3%, compared to the 3.1% projected in the budget and the 3.1% expected on average across Europe.

For 2023, economic growth will be 2.1% against 0.9% on average in Europe.

As for the end result, it will provide for the creation of a primary surplus, but at lower levels than those envisaged in the medium term. According to the latest information, the primary surplus will be between 0.5% and 0.7%, and in any case below 1%.

It is noted that in the medium term, a commitment was made to achieve a surplus of 2% of GDP. However, changing conditions and the continuation, and with greater intensity, of the energy crisis prompted the government to change its plans, as more money is now needed for support packages for the economy and society.

As for the primary deficit in 2022, it will end up in the region of 2%, as originally envisaged.

In terms of inflation, the estimate included in the project will be that this year it will average 9%, which is higher than the initial forecasts, while for 2023 the forecast is more optimistic and says that it will fall to 3% by middle level.

The draft will also include measures related to 2023 announced by Prime Minister Kyriakos Mitsotakis at TIF. It should be noted that the total amount of interventions for 2023 is 3.2 billion euros.

The main ones are:

– Cancellation of the solidarity tax on all income received from 01/01/2023. This particular measure is expected to boost the disposable income of 1.2 million private sector workers – as it did last year – 500,000 civil servants and 1,000,000 retirees. The total budget expenditure is 1.24 billion euros.

-Increase in basic pensions. This increase concerns 1.5 million pensioners, who are practically the same. The amount of the increase will be 50% of GDP growth and 50% of the change in the consumer price index. It is assumed that in the first year of implementation the increase will be about 7%. The value is expected to exceed 600 million euros by 2023.

– The business tax exemption for ordinary farmers and coastal fishermen has also been extended for the 2022 tax year.

– Excluded for the tax year 2022 and beyond are individuals engaged in entrepreneurial activities, and legal entities, legal entities that increase the total time of employment of their employees in relation to the previous tax year, with full employment. relationship for one year, for at least three months, for a year, provided that their gross income does not exceed 2 million euros during the tax year for which the exemption is granted. This measure applies from September 1, 2022, it applies to 900,000 self-employed people and enterprises.

-Extension of reduced VAT on transport, coffee, soft drinks, gyms, dance schools, cinema and travel package until June 2023. The cost is 246 million euros.