Greek Prime Minister Addresses Overtourism and Housing Crisis

Addressing Overtourism

Greek Prime Minister Kyriakos Mitsotakis has announced decisive steps to combat overtourism, as Greece welcomes a record number of visitors post-pandemic. During his annual address at the Thessaloniki International Fair, he expressed concerns over the rising influx of cruise ship passengers.

New Measures for Tourism

• The government will charge fees for cruise arrivals, especially in hotspots like Santorini and Mykonos.
• A tax increase on short-term accommodations will be applied to alleviate tourism's strain on local communities.
• Greece recorded 36.1 million tourists in 2023, with numbers escalating by 16% in early 2024.

The Golden Visa Program

Furthermore, the Golden Visa program will be expanded for investors contributing at least €250,000 to local startups, shifting from previous real estate requirements.

Addressing Housing Issues

• A one-year ban on new short-term leases in key Athens areas is set, as short-term rentals contribute to the housing crisis.
• Renters switching to long-term leases will benefit from a tax exemption for three years.

Economic Measures

Mitsotakis also revealed a €2 billion initiative to lower mortgage rates amid escalating living costs.

Future Outlook

Fiscal prudence remains a priority, with Greece committing to a primary surplus of 2.1% of GDP for 2024 and 2025.