The government is set to announce later this week the enhanced package of relief measures aimed at cushioning the impact of the war in Ukraine on Greek businesses and households but also insulating New Democracy from potential voter dissatisfaction.
The first day of the EU leaders’ summit in Versailles on Thursday did not produce particularly encouraging developments for the Greek government, which is hoping that Europe will step in to provide solutions on the fiscal front as the energy crisis and runaway inflation fuel political concern.
The past week has seen the range of potential policies for tackling high energy prices expand with further proposals at both the EU and the domestic level.
Prime Minister Kyriakos Mitsotakis has pledged that his government will announce in the coming days an additional support package to counter the cost-of-living crisis, which remains a key threat to New Democracy’s political fortunes.
Against the backdrop of the war in Ukraine, Prime Minister Kyriakos Mitsotakis is set to meet Turkey’s President, Recep Tayyip Erdogan on Sunday, in what will be their first talks on Turkish soil rather than neutral territory.
The government is racing to keep up with estimates of the impact of war in Ukraine on the budget, as another week of hostilities has sent the prices of energy and basic goods soaring and businesses warn of more price hikes on the way.
Prime Minister Kyriakos Mitstotakis has doubled down on his decision to send arms to Ukraine despite ongoing criticism from the opposition parties regarding the policy but also not consulting with his rivals.
The markets’ reaction to conflict in Ukraine has sent the government in search of additional policy tools to shield consumers from galloping inflation.
Tuesday’s parliamentary debate on the war in Ukraine and the government’s decision to break a decades-long tradition of Greece not embroiling itself in such conflicts, in this case by supplying arms to Kiev, gave Prime Minister Kyriakos Mitsotakis an opportunity to present his party as being the one that can best safeguard the country’s security, as well as its place within the West.
The government’s decision to supply arms to Ukraine has prompted criticism from the main opposition party SYRIZA and other parties of the left about the nature and extent of Greece’s involvement in the conflict with Russia.