Fitch: Greece Alone in Effectively Targeting Energy Support Measures

Fitch Ratings has sounded a critical note regarding the energy support measures implemented by European governments. Federico Barriga-Salazar, head of Fitch's Western Europe ratings, pointed out that while these measures are currently smaller than those seen in 2022, their broad, non-targeted nature poses a significant risk to public finances. This perspective, shared by many economists, emphasizes the need for fiscal prudence in challenging economic times.

The analysis highlights a concerning trend: many European nations are opting for horizontal measures, such as fuel tax cuts, which benefit everyone regardless of need. This approach contrasts sharply with the more efficient strategy of providing targeted support to vulnerable households, a method that conserves fiscal resources. The report notes that Spain's measures represent 0.3% of GDP, while France and the UK are spending less than 0.01% of their GDP on such support.

Notably, Fitch singles out Greece as the sole country that has successfully implemented targeted measures. This distinction suggests that while the challenge of rising energy prices is widespread across Europe, the solutions are not universally effective. The Greek approach, therefore, serves as a potential model for other nations seeking to balance economic support with fiscal responsibility.

From a European perspective, the ongoing energy crisis, exacerbated by geopolitical events, continues to test the resilience of national economies. The Fitch warning serves as a stark reminder that short-term relief measures, if not carefully designed, can lead to long-term fiscal instability. The focus must remain on sustainable solutions that protect the most vulnerable without jeopardizing the broader economic health of the continent.

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Δυστυχώς, μέχρι αυτό το στάδιο, τα περισσότερα από αυτά τα μέτρα δεν ήταν στοχευμένα. Η μόνη χώρα που πραγματικά έχει εφαρμόσει στοχευμένα μέτρα είναι η Ελλάδα