The assurance that the government has a plan and is doingnecessary to ensure a continued strong response to every new development, with the aim of protecting public health and maintaining the normal course of the country’s social and economic life, stated Yiannis Oikonomou, Deputy Minister to the Prime Minister and government spokesperson, in his opening remarks during a briefing for political editors.

Specifically, Mr. Oikonomou emphasized the following regarding the management of the coronavirus pandemic:

«A major issue at the start of the new year is the “O” variant, which is now sweeping across the entire planet and breaking all records for cases, both in Europe and in our country. In our country—where it is already dominant—as well as in most European countries, it is exhibiting unprecedented transmissibility, but—as evidenced both by the experience of other countries that have gone before us and by scientists’ initial assessments—it has a short incubation period and causes lower morbidity. It is causing tens of thousands of new cases, but fewer hospitalizations compared to all previous variants. To date, it has primarily affected young people aged 18 to 34, resulting in a decrease in the median age of new cases to 29 years.

This new reality highlights—once again—the need to increase vaccination coverage, to use protective measures—masks and social distancing—and to conduct frequent testing. It is thus evident, once again, that the course of the pandemic is not linear and predictable, but dynamic and constantly changing. It already appears that new waves are on the horizon for the coming period, requiring increased vigilance and constant alertness.

We must ensure—as we have done in the past—that our response remains vigorous in order to address this challenge. Flexible in the face of new developments, yet steadfastly focused—on the one hand, on protecting public health, and on the other, on ensuring the smooth functioning of social and economic life. For this very reason, all data is constantly evaluated, and—following recommendations from experts—the necessary adjustments are decided upon without the slightest delay.

In any case, it is essential to strictly adhere to the measures recommended by experts and to expand vaccination efforts. This applies both to those—especially the older ones—who remain hesitant, and to those who have completed three months since their second dose and are ready for their booster shot. Vaccination is the only way to drastically limit, at the very least, the most painful consequences of the pandemic: intubations and loss of life. To date, more than 7,485,000 of our fellow citizens have been vaccinated, representing 71.3% of the general population and 81.1% of the adult population. These rates bring us very close to the European averages.

Meanwhile, the government is taking all necessary measures to ensure that our National Health System can continue to cope —despite the increased pressure it is under—which at this time still stems primarily from the “Delta” variant. To this end, the Ministry of Health has reached a full agreement with private healthcare facilities to provide beds, as well as staff, so that the best possible care can be provided to our fellow citizens in need.

Despite the painful losses, despite the immense pressure, Greece is holding on and will continue to hold on. We have a plan, and we are doing what is necessary and required by the circumstances at hand to ensure that our response remains strong in the face of every new development, ensuring both public health and the smooth functioning of socioeconomic life. Knowledge, perseverance, and above all, continuous effort ensure the safest possible passage through the trials of the pandemic and the international situation.».

In 2021, Greece coped with the successive crises competently and certainly

The government spokesperson also took the opportunity to provide a brief overview of the government’s achievements over the past year, while also detailing the government’s commitments, which are being implemented as of January 1, 2022:

«As we begin the new year, I would like to start—not with promises, but with a comprehensive review of the government’s work, to illustrate the foundation from which we are starting and upon which we are basing our plan for 2022. A year that will bring us even closer to the goal of “Greece 2.0”—a Greece that leads the Fourth Industrial Revolution and ensures a high quality of life for all its people.

The year 2021 left us with a challenging global environment—in terms of public health, the economy, and energy. Greece coped with the successive crises in 2021 competently and certainly much better than other larger and more powerful countries. In fact, our response enabled the country to make up much of the ground lost over the previous decade and to embark on an upward trajectory across a range of quantitative and qualitative indicators.

The government is working hard, based on a well-structured plan, to ensure that the country’s rapid upward trajectory continues in 2022, so that when the long-awaited relief from the pandemic and its accompanying hardships arrives, we will be in a position of absolute strength in the global race for growth that lies ahead. The government is working with consistency, responsibility, and social sensitivity, as well as realism and honesty.

In 2021, the government launched a massive program to support businesses, workers, and the unemployed—a program totaling more than 43 billion euros. This enabled us, in the midst of the health crisis, to keep our nation’s productive fabric afloat and achieve growth rates that no one expected. At the same time, we managed to increase investment and exports, to safeguard and improve incomes, and to achieve the largest reduction in unemployment in Europe. We succeeded in supporting the National Health System with new intensive care units and additional staff. We also made significant strides in digital governance.

Despite the difficulties caused by the pandemic, we have demonstrated in practice that we can tackle external challenges while simultaneously moving forward with the necessary reforms. Our actions were not reactive; they were proactive. And that is exactly what we will continue to do in the new year. Taxes continue to be reduced. The most vulnerable are being supported. Major public works projects are being implemented. The Digital State facilitates daily life and supports growth. Education and the labor market are being modernized. Public safety is being strengthened.

Throughout 2021, we faced no shortage of national challenges. However, we responded with prudence, determination, and confidence. Our national defense has been strengthened more than ever before. And our country has forged strategic partnerships of major importance that reinforce our geostrategic and geopolitical footprint. They bolster Greece’s deterrent capability and amplify its voice in Europe and the wider region. At the same time, by making strides in green growth and the digital transition, we are making our country stronger economically, geopolitically, and militarily.

Amid a climate of international instability and uncertainty, Greece stands as an island of stability and protection for its citizens. The government is continuing, with confident and steady steps, along the path it has charted toward major changes—changes that bring new investments and even more jobs. Changes that increase public wealth, expand opportunities for every citizen, and raise workers’ incomes. Changes that bring the state closer to its citizens. That give Greece the ability—despite global challenges—to change. And we are determined, in 2022 as well, to address all of society’s problems, standing alongside our citizens and leaving no one behind.

Government commitments taking effect on January 1, 2022

Especially as we begin this new year, I want to remind everyone of the government’s commitments, which are taking effect as of January 1. Consistent with its commitments—as Prime Minister Kyriakos Mitsotakis noted in his post yesterday—the government has implemented, as of January 1, yet another package of measures that reduce taxes and boost income.

The goal is to create even more and better new jobs. To make businesses more productive. To increase government revenue so that we can support public education and healthcare. To make the redistribution of wealth in favor of the economically disadvantaged even more generous. And to ensure that our young people have a better and, above all, higher-quality life. Among other things:

The minimum wage is increasing by 2%, and there will be another increase in 2022.
The advance tax payment is reduced from 100% to 80% for legal entities and to 55% for individuals.
The reduction in VAT rates on transportation, coffee, non-alcoholic beverages, movie tickets, package tours, and gym memberships.
The mobile phone subscription fee, which ranged from 12% to 20% until last year for all citizens aged 29 and older, is being reduced to 10%.
Effective January 1, the corporate income tax rate was reduced from 24% to 22%.
The suspension of the Special Solidarity Contribution for the private sector remains in effect.
The reduction of three percentage points in social security contributions for private-sector employees continues.

-Incentives are provided for mergers and partnerships among small and medium-sized enterprises, including an income tax deduction.

-The 30% deduction applies to expenses incurred through electronic payment methods for specific professional sectors, up to an amount of 5,000 euros per year, from the taxable income of individuals.

The «First Job» program is available to young people aged 18 to 29 who have no prior work experience and will be hired in 2022.
The mobile phone subscription fee for people up to 29 years of age is being eliminated.
The excise tax on diesel fuel will be refunded to new farmers—both men and women—who are members of agricultural cooperatives in 2022.

Measures to Support the Economy Against the Impacts of the Pandemic

Effective January 1, 2022, the measure suspending employment contracts—with special-purpose compensation of 534 euros—for employees of businesses classified under specific business activity codes (KAD) (bars, restaurants with live music, entertainment venues, etc.).
A special-purpose allowance for January 2022 will be granted following the submission of individual applications by artists who have been registered in the Artists’ Registry by January 10, 2021 as musicians or in related fields.
The «SYN-ERGASIA» Program, which proved to be an important tool for supporting employment during the previous period, has been extended through March 31, 2022.

Our government is acting according to a plan that is bearing fruit, despite the adverse circumstances. These results are being felt first and foremost by the middle class and the most vulnerable, without exception or discrimination.».

«Official Launch» of the Supplementary Capitalization Insurance Fund

«On January 1, 2022, the new Supplementary Capitalization Insurance Fund (TEKA) began operations; it is the agency responsible for implementing the provisions of the law «Social Security Reform for the New Generation.».

It will enroll young people entering the labor market for the first time as of January 1, 2022, as employees required to enroll in supplemental insurance, and, as of January 1, 2023, insured individuals under the age of 35 who wish to enroll in the program.
A central pillar of the new model is the introduction of «individual savings accounts,» so that new employees, rather than contributing their money to a general «pool,» can invest it on an individual basis.
The experience of countries that have implemented this system (Denmark, Sweden, the Netherlands) shows that the new model will result in higher supplemental pensions ranging from 43% to 68% for new insured individuals.
This model mitigates the risks posed to the social security system by the demographic problem, fosters a culture of saving, and has a clear pro-growth character, since the new Fund’s capital will be channeled into the economy and will boost both growth and employment.
The State guarantees the payment of a minimum contributory monthly supplementary pension, which is calculated based on the actual value of the contributions paid by the insured, taking inflation into account.

-«At the same time, the government guarantees that supplementary pensions under the »old» system will continue to be calculated based on the existing rules, with absolutely no changes.”.

The government's primary goal remains to reopen schools safely

The government’s primary intention remains to reopen schools, and its top priority is to ensure they reopen safely for students, teachers, and their families, emphasized government spokesperson Yiannis Oikonomou during a briefing with political editors. He noted that the government is awaiting the recommendation of the committee, which will meet at 2:00 p.m., and emphasized: “We will do whatever the experts advise us to do to achieve these two goals.” He added that our intention to reopen schools is based on educational, psychological, and social reasons, and every step in this direction will be taken with the absolute safety of teachers and students in mind, using whatever protocols are necessary.”.