The Greek government’s 2020 state budget was passed after five days’ debate in the 300-seat parliament, with 158 voting in favour and 139 MPs rejecting it.

In presenting the budget, Prime Minister Kyriakos Mitsotakis told parliament that the government expected the economy to expand by 2.8 percent over the coming year. He said the budget included tax breaks of almost 1.2 billion euros.

He told parliament that the 2020 budget was aimed at relieving pressure on the country’s middle class, boost small business and the real estate sector and focus on green growth.

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As of next year, Mr Mitsotakis said that a gradual reduction of the solidarity tax would take place. There would also be lower corporate and property transfer taxes. There will also be an eight percent reduction of the ENFIA property tax on top of the current target of 30 percent but that this would be calculated on new real estate values.

He said 5.1 billion euros would be added to the country’s reserves by May 2022 from the return of profits from Greek government bonds.

Mr Mitsotakis said his government would strengthen investments in the energy upgrades on properties and that all lignite-powered electricity plants would be shut down by 2028. The ratio on renewable energy sources would be raised to 60 percent by 2030.

Domestic demand is expected to grow from 1.8 percent in 2019 to 2.9 percent next year. Mr Mitsotakis said he expected exports to grow to 5.1 percent while domestic demand would increase imports by 5.2 percent.

The ratio of investments to gross domestic product is expected to go up from 11.9 percent in 2019 to 13.1 percent next year.

“I had made a commitment to the Greek people on three main priorities. I will reduce taxes, I will create many and well-paid jobs and I will restore a sense of security,” Mr Mitsotakis told parliament.

Meanwhile, AMA reported that the Ministry of National Defence’s expenditures were passed by 250 votes with the government receiving support from opposition parties Syriza and Greek Solution.