Without changing goals for him primary deficitwhich will remain at 2% GDPaccording to his sources financial staffaddendum prepared budgeton the basis of which, as the Minister of Finance stated yesterday Christos Staikourashouseholds and businesses will be further strengthened against him energy crisis and his inflation.

According to sources in Main AccountingIt is expected that GDP will be higher, according to the Commission, by 7 billion euros, that is, it will reach 204 billion euros against the previous estimate of 197 billion euros due to tourism. Thus, the additional income is estimated at about 2.2-2.3 billion euros. The additional budget will move to about that level, they add.

Additional funding decisions are expected to be announced in September at TEF prime minister Kyriakos Mitsotakis, as seen in yesterday’s ERT finance minister’s statement. “In early September, we will see how the economy is moving, how GDP will develop in the second quarter, and what are the needs of the fourth quarter,” said Mr. Staikouras. “In any case, there will be announcements in September. It just so happens that TIF is also at this time.”

The Ministry of Finance is anxiously watching the dynamics of gas prices, on which the cuts will largely depend.

Mr. Staikouras did not want to go into specific announcements of measures, although he left open the possibility of an extension Fuel pass 2which ends in September, increases heating allowanceadministration accuracy check as well as increase in the minimum wage.

“Everything is on time,” he limited himself to comments, and about fuel oil he said that “obviously, this is one of the elements that we take into account, like many other measures. But I can’t tell you about autumn right now.” Regarding the Fuel Pass, he noted that “we’ll see, depending on the dynamics of fuel prices. In any case, the fiscal space will return to society.”

In fact, what the Treasury Department is watching with concern to determine the existing limits of support is the price. natural gas and his Current. Calculations for tariff support were made almost twice below the level of 200 euros per MWh. Therefore, part of the additional resources provided by the good performance of income and tourism this year will be used to continue subsidizing electricity tariffs.

Mr Staikouras argued that the taxpayers’ response to their obligations (income tax, ENFIA, refundable advanceswhen citizens paid 3 billion euros last week without reducing deposits) and the direction of tourism create additional fiscal space.

The government remains determined to return to primary surplus in 2023. Mr. Staikouras pointedly pointed out yesterday that “there should also be financial opportunities to fulfill the obligation to abolish the solidarity collection from 2023 for all working and retired people.”

Strict financial discipline

Strict adherence to the deficit reduction rule by 0.5% of GDP per year to achieve the medium-term fiscal goals of each country was demanded yesterday by German Finance Minister Christian Lindner in connection with the debate. on the revision of fiscal rules in the EU. In an interview with Handelsblatt, he argued that the application of this deficit rule, which is valid but not enforced in practice, should be mandatory and lead to the rejection of the economic plans of countries that do not comply with it.

On the contrary, in “exchange” he agreed to cancel the unrealistic goal of reducing each country’s debt by 1/20 of the excess of 60% of its GDP. The rule has “taken away development” after the massive debt that governments have been forced to take on due to the pandemic, he said.