Greece’s 2026 state budget projects higher borrowing and early debt repayment

The State will proceed with higher borrowing and early repayment of loans from the memoranda in 2026.

According to the State Budget submitted to Parliament by the Minister of National Economy and Finance Kyriakos Pierrakakis, the State’s net borrowing will reach 13 billion euros in 2026 from approximately 8 billion euros this year. 

This development reflects on the one hand the State’s higher cash financing needs, which are estimated to reach 30.1 billion euros in 2026, from 14.08 billion euros this year. In 2025 the Greek State allocated approximately 5.3 billion euros for the early repayment of GLF loans as the government’s goal is for these loans to be repaid by 2031.

Regarding the State’s borrowing program for the new year, the Budget data show that long-term borrowing will reach 12.7 billion euros from 11 billion euros in 2025. With this borrowing, but also with the use of part of the “cushion” (liquid assets), amounting to 18.4 billion euros, the State’s cash financing needs in the new year will be covered. For the same purpose last year, the State had used only 3 billion euros of available funds.

AMNA.GR