The Greek Fiscal Council (GFC) has released its Spring 2026 Report on the Greek economy. According to the latest data, the economy is in a sound fiscal position despite expansionary fiscal measures.
In 2025, the Greek economy grew at a rate of 2.1%, above the EU average, with growth estimated at 1.9% for 2026, according to the EDS. The general government balance stood at a surplus of 1.7% of GDP, and public debt fell to 146.1% of GDP in 2025. This positive trend was confirmed in the first quarter of 2026, with a projected primary surplus for the full year of 3.2% of GDP.
This represents a “virtuous” combination of primary fiscal surpluses and an expansionary fiscal stance, resulting from economic growth and increased revenues stemming from improved tax compliance and the digital transformation of the tax system, which allows the Greek government to achieve a surplus, while simultaneously increasing net spending on measures to support the most vulnerable households in the face of rising living costs.
However, maintaining growth momentum in the coming years is the most significant challenge for the Greek economy. The Greek economy’s chronic structural imbalances—such as high unemployment, particularly among young people, low productivity, and high external debt—combined with the expiration of the Recovery and Resilience Facility and increased geopolitical uncertainty—make it necessary to identify new drivers of growth.
The sustainability of economic progress therefore requires the continuation of prudent fiscal policy alongside the deepening of structural reforms, particularly in sectors where Greece lags behind its EU partners but which can serve as drivers of future growth.
* See the report in the “Related Materials” section.