Greece State Budget Balance presented a surplus of EUR 2,160mn.

Macro/Political:

• Preliminary data released by the MoF showed that the State Budget balance on a modified cash basis for January – August 2025 presented a surplus of EUR 2,160mn, against a target of a deficit of EUR 1,381mn and a surplus of EUR 1,044mn for the same period of 2024. The State Budget Primary Balance amounted to a surplus of EUR 8,696mn, against the primary surplus target of EUR 4,929mn and a primary surplus of EUR 7,567mn in the same period of last year. It is noted that an amount of EUR 1,895 mn which refers to the time differentiation of payments from ordinary budget and an amount of EUR 342mn which refers to the time differentiation of PIB payments, do not affect the outcome in fiscal terms.
  For January – August 2025, State Budget net revenues amounted to EUR 48,459mn, showing an increase of EUR 185mn or 0.4% against the target. State Budget expenditures amounted to EUR 46,299mn, EUR 3,356mn lower than the target.
  Source: Ministry of Finance

• According to Moody’s, the tax package recently announced by the Greek government leverages fiscal strength to address demographic constraints, which are among the country’s biggest challenges, and this is positive for Greece’s credit profile just days ahead of its new review on the Greek economy, expected this Friday. However, the agency warns that due to pressure for additional measures in the run-up to the 2027 elections, the government must be careful not to disrupt fiscal discipline and therefore Greece’s credit strength.
  Source: Capital.gr

Macro/ Political:

• Minister of Finance, Mr. Makis Keravnos, announced yesterday after his meeting with all the parties that he is optimistic about their cooperation on the new tax reforms. More specifically, the Finance Minister said they are ready to continue the discussion but emphasized that the parties must take it very seriously and adhere to the proper timelines, as the goal is for the new tax reforms to take effect at the beginning of 2026. The reforms are intended to benefit taxpayers, employees, and the competitiveness of the Cypriot economy.
  Source: StockWatch