Greece Announces Caps on Banking Fees

Greece's government, led by Prime Minister Kyriakos Mitsotakis, has announced new measures to cap banking fees as part of the 2025 national budget aimed at alleviating cost-of-living pressures on consumers. The cap will limit fees for money transfers up to €5,000 at €0.50 ($0.52), and transactions with state and utility companies will be free of charge. Mitsotakis emphasized that previous fee reductions by banks were insufficient, especially given their recent profitability and dividend distributions after years of state aid. Additionally, banks will contribute €100 million towards school construction and face doubled property taxes on unused properties. While the budget seeks to support economic growth and social welfare, it has faced criticism from opposition parties regarding its prioritization of financial institutions over citizens' needs. The budget passed with strong support, reflecting the government's focus on fiscal stability and growth projections.