Another package of emergency measures is being prepared governmentin view of the elections, with its leadership financial staff refer to the margin offered by lowering the price of natural gas to around 65 euros today, compared to 120 euros in the budget estimate.

At the same time, it is also preparing announcements of measures of a more permanent nature, since – according to Finance Minister Christos Staikouras– its economy and income budget doing better than predicted, delivering higher returns.

“It looks like fiscal space is starting to be created in 2023,” Mr. Staikouras characteristically told SKAI, while Prime Minister K. Mitsotakis later stressed at a press conference that emergency revenues will each time go to emergency needs and permanent ones for permanent.

As part of ongoing measures, the Prime Minister announced a further reduction in insurance premiums due to the new four-year term. It is noted that N.D. promised a reduction of 5 percentage points, and so far they have fallen by 4.4 points. In addition, the new salaries of civil servants are fixed in terms of the next four years, which was also confirmed by the Prime Minister yesterday.

He also talked about a possible reduction in indirect taxes in the next four years, if conditions allow.

Low energy prices create fiscal space for additional easing, the finance minister stressed. Staikouras.

With regard to temporary measures, they are expected to be adopted and announced at the end of February. If low fuel prices are confirmed, the economic headquarters notes that the budgeted 600 million euros for subsidizing electricity tariffs or part of them will not be needed, so a specific amount could be allocated for temporary measures. However, at the moment it is too early to predict the course of energy prices.

In temporary and targeted measures, tentatively, an “Easter gift” by the standards of the corresponding Christmas, according to circulating scenarios, could cost 300 million euros.

Mr. Staikouras yesterday mentioned a possible extension of the preferential VAT in the areas of catering, tourism and transport, which expires at the end of June, saying that by the end of the year it will cost 250 million euros.

At this juncture, the prime minister and economic staff are citing support against inflation, especially food, as the government’s immediate priority. “The focus has shifted to food,” Mr. Staikouras said, compared to energy, which has been a major source of concern in the past.

However, the announcements are expected to move to the limit of what is tolerable by the markets so as not to provoke their reaction, with interest rate hikes and investment grade exclusions. Therefore, budget execution figures are expected to ensure that there is no deviation from the primary surplus target. “There is still a lot of uncertainty,” Mr Staikouras warned.