Mitsotakis launches new family and youth support program
Prime Minister Kyriakos Mitsotakis has introduced a €1.6 billion initiative aimed at tackling Greece’s shrinking population. Speaking at the Thessaloniki International Fair, he said the program is designed to ease the financial burden on families and provide incentives for young people to remain in the country. Scheduled to start in 2026, the measures include broad reductions in income taxes, targeted benefits for larger households, property tax relief in rural and island areas, and extra assistance for pensioners and households facing high living costs.
Demographic trends highlight urgency
The government’s announcement comes as Greece faces a persistent demographic challenge. The Hellenic Statistical Authority reported just 71,455 births in 2023, one of the lowest figures in decades. Fertility rates remain below replacement levels, and long-term emigration has left many towns sparsely populated, putting additional strain on the pension system. Mitsotakis described the program as a vital step toward ensuring the country’s long-term economic and social stability.
Analysts question impact and funding
The plan has drawn attention from opposition parties and independent analysts, who caution that financial incentives alone may not reverse entrenched demographic trends. Experts stress that improvements in childcare, housing, and job security are essential to encourage families to have more children. Questions have also been raised about how the €1.6 billion cost will be balanced within Greece’s European Union fiscal commitments. The Finance Ministry is expected to release detailed legislation in the coming months, with parliamentary debate scheduled before the program is implemented in 2026.
