«We will continue to be close to society for as long as it takes,» he says in an exclusive interview with Imeresia and «Daily Talks», ο Minister of Finance, Christos Staikouras, leaving open window for both the extension of support measures against the energy storm and the distribution of «growth dividend».
In detail, and on the issue of accuracy, Mr.Staikouras said:
- With the current data, the common thread is that we are talking about a serious problem, more acute than the initial estimates but transient.
- With the EUR 500 million, we estimate that we are partially, but significantly, addressing the challenges highlighted by the increase in prices
- The 3% of inflation is indeed one of the highest rates we have had in the last 10 years but lower than the European average and lower than the corresponding price increases on both sides of the Atlantic
- Energy prices have increased much more than the average price increase observed in the market
- We have:
- EUR 500 million in short-term measures,
- permanent measures to help disposable income mainly through tax and contribution cuts,
- market control measures, and
- measures at pan-European level to tackle rising energy costs
- We will continue to be close to society for as long as it takes - Seeing how the problem unfolds and its intensity
- But beware: Rising energy prices should not lead to high inflationary expectations and the problem becomes more acute than it really is
- There is a big price increase but inflation is 3%, this is the increase in the household basket
- We need to get it right, so that the measures reflect reality and not create inflationary expectations that will make the problem even bigger.
- If the problem continues in energy and other sectors, the Greek state will have to see how it will manage the situation in 2022
- We will see what fiscal space we will have with the submission of the budget in a few weeks - Then we will see if any achievement of specific targets translates into fiscal space that can be used for the benefit of society and especially the lower and middle income strata
