Greece's public debt in 2026

Public debt represents the total amount a government owes to its creditors, both domestic and foreign. It increases when a state spends more than it collects in taxes, and therefore borrows to cover the deficit. This debt is generally used to finance long-term infrastructure, social programs, or crisis management, but it can also result from mismanagement or excessive government spending.

For debt to be sustainable, it must remain at a reasonable percentage of GDP. The Stability and Growth Pact (SGP), adopted by the European Union to guarantee budgetary discipline among member states, stipulates a Maximum authorized public debt of 60% of gross domestic product (GDP) and a Maximum annual budget deficit of 3% of GDP, although some flexibility may be allowed.

Greece's public debt evolution

Greece's public debt in 2025 was 362,925 million euros, representing 146.1 % of GDP. For comparison, in the same year, the debt of the eurozone represented 87.4 % of GDP. Greek debt has decreased by 2,039 M€ compared to 364,964 M€ a year ago where it represented 154.2 % of GDP.

Over the past 20 years, Greek debt peaked in 2023 at 369,110 M€, its highest level, but the worst year was 2020 when the debt reached 209.4 % of GDP with 350,798 M€. Conversely, 2006 saw the lowest debt at 225,730 M€, while the best year was 2007, when debt represented 104.6 % of GDP.

Comparing Greece's budget balance to other European countries

The annual budget balance is the most frequently used measure to assess a country's deficit or surplus, as it generally appears in government accounts and budget presentations. It also provides insight into the country's ability to finance public debt; for example, if the country has a surplus, it will be easier for it to allocate part of the surplus to debt repayment.

In 2025, Greece had a budget surplus of 4,290 millions euro representing 1.7 % of its GDP. This places Greece 4th among 28 European countries with the best budget performance this year, and 13 places ahead the Eurozone average.

Evolution of the weight of Greek debt

Interest payments represent the budgetary cost of public debt. This cost is determined by both the level of net debt and interest rates. When interest rates rise or fall, the cost of interest generally follows the same trend, thus increasing or decreasing the debt burden on the government budget.

The interest burden in Greece decreased by -4.9 % last year, from 8,225 M€ in 2024 to 7,841 M€ in 2025, but remains above the best year, 2021, when 4,528 M€ in interest payments were due. Respectively, in terms of GDP share, there was a decrease, from 3.5 % to 3.2 % of GDP, but this is higher than the best year, 2021.

Comparison of the interest costs of Greek debt with that of European countries

In 2025, Greece spent 7,841 millions euro on interest costs on the national debt, representing 3.2 % of its GDP, placing Greece 3rd among the countries whose debt weighs most heavily on the budget, 7 places behind the euro area average.