Greece’s State Debt to Private Creditors Hits €3.55B

Overdue public sector payments climbed by €251 million in the first half of 2026, with pending tax refunds surging to €788 million even as hospitals trimmed their supplier backlog.

The Greek public sector ended June owing €3.55 billion to suppliers, pensioners and taxpayers, according to data from the Ministry of Economy and Finance, up €251 million from the end of 2025.

The headline overdue debt figure for June stood at €2.762 billion, down €237 million from May’s €2.999 billion. Pending tax refunds of €788 million bring the total to €3.55 billion.

Public hospitals, the largest single source of arrears within the general government, owed suppliers €1.305 billion in June, down €214 million from May and €92 million below end-2025 levels.

Social security funds owed €715 million, up €9 million from May and €49 million above the December figure. The bulk of the delays relate to supplementary pension payments — the earnings-related top-up to Greece’s basic state pension — where processing backlogs have left retirees waiting.

Local government bodies, covering municipalities and regional authorities, owed €333 million in June, down slightly from May but €153 million higher than at end-2025. Other public legal entities owed €243 million, up €35 million over six months.

Ministries collectively accounted for €175 million, with the Migration and Asylum Ministry owing €64 million to private creditors and the Ministry of Shipping and Island Policy €66 million.

Pending tax refunds rose €69 million in a single month to €788 million. Of that total, €467 million relates to indirect taxes, €203 million to direct taxes, €109 million to non-tax revenues and €8 million to other categories. Some €234 million in tax refunds has been outstanding for more than 90 days, of which €149 million is held up by missing documentation or failure to reach eligible taxpayers. The remaining €554 million involves cases pending for less than 90 days.

Source: OT.gr

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