After months of delays and with Greece’s demographic challenges worsening faster than anticipated, the government is finally moving to implement its long-promised action plan to tackle population aging, declining birth rates, and a shrinking workforce. The comprehensive plan, with a budget of €20 billion and a timeline stretching from 2025 to 2035, will be submitted to Parliament this May — eight months later than originally announced by former Minister for Social Cohesion and Family Affairs, Sofia Zacharaki.
The delay has been attributed to bureaucratic inertia, but under the new minister, Domna Michailidou, there is renewed urgency to push forward. The plan outlines 100 initiatives, from incentives to increase birth rates to programs promoting healthy aging among those over 80. The government’s strategy is structured around five pillars: supporting families, boosting employment, managing longevity, promoting local development, and raising public awareness, particularly among young people considering starting families.
Among the measures are significant increases in child benefits, tax breaks for working parents, and incentives to encourage larger families. Employment initiatives will target women and older workers, while programs supporting healthy aging will include the establishment of geriatrics as a formal medical specialty and expanded educational opportunities for seniors. Local development plans will prioritize modern student housing, telemedicine, and affordable housing projects.
Although some initiatives, such as higher birth grants and expanded childcare support, are already underway, others — including increased family benefits and labor market incentives — have yet to be legislated.
Warnings from major institutions highlight the stakes. The IMF forecasts that Greece’s working-age population will shrink by 35% by 2050, falling from 6.6 million today to about 4.3 million. The Bank of Greece has stressed that an aging population will put immense pressure on the social security system, while research from the Centre of Planning and Economic Research (KEPE) shows a troubling drop in employment among 30- to 40-year-olds.
