Post-Recovery Fund plans

Next year is projected to person plentifulness of fiscal challenges, arsenic the Recovery Fund ends, on with an unprecedented summation successful the Public Investment Program, while the projected complaint of summation successful nationalist spending peaks, earlier slowing down, based connected the Medium-Term Fiscal Plan.

As pointed retired by economical analysts, Greece is called upon to take vantage of the opportunities of this “golden” year, successful bid to bounds a imaginable achy cooling of its system successful the future.

In this context, the government’s readying connected nationalist spending provides for capitalizing connected the very bully advancement successful executing this year’s fund to make a caller fiscal space, which will beryllium used successful 2027.

Already, accusation indicates the Finance Ministry will see portion of this year’s gross surplus to beryllium of a imperishable nature, so that the European Commission tin let a corresponding summation successful imperishable spending from 2027. Specifically, two such sources of imperishable gross summation person been identified. The negotiations will beryllium closed adjacent year, depending connected the last results of 2025, which Eurostat will people successful April 2026. This further space will evidently besides provender the government’s pre-election announcements successful 2026.

Normally, however, according to the Medium-Term Plan, the maturation complaint of expenditure slows down: from 3.7% this year, to 3.6% successful 2026, 3.1% successful 2027 and 3% successful 2028.

Regarding nationalist investments, the authorities is looking guardant to a smooth transition to the epoch aft the extremity of the Recovery Fund, with an summation successful the nationalist financing of the Public Investment Program, utilization of the three caller funds created, pursuing the Recovery Fund (Social Climate Fund, Fund Modernization and Decarbonization of Islands), totaling implicit 8 cardinal euros for Greece and with the support of backstage investments.

According to the midterm plan, from 2027 nationalist concern spending will decline: from €20.8 cardinal successful 2026 to €13.2 cardinal successful 2027 and to €11.2 cardinal successful 2028, returning to the times earlier the Recovery Fund. Since then, the representation has changed, with the three caller funds, corresponding to astir fractional of the Recovery Fund grants for 2026-2032.