Greek Islanders Call on Government to Offer Incentives for Growth

Trade associations from the Cyclades are calling on the government to re-examine the measures it has proposed including increasing the VAT tax and imposing a luxury levy on 22 islands, underlining that any adjustments made must be carefully designed to ensure growth.

Island entrepreneurs addressed these and other issues affecting Cyclades business communities during their 8th conference, which took place on Paros on May 9-10.

Local entrepreneurs stressed that the islands’ small and medium enterprises have reached their limits and invited the relevant governmental bodies to enter a constructive dialogue.

Referring to the controversial VAT hike, islanders said it will lead to significant increases in goods and services, which will inevitably have a negative effect on the viability of local business.

They also added that the proposed luxury tax on 22 islands is bound to create inequalities among islands in the same regional division and demanded that any such measure be offset by development measures.

The trade bodies also discussed the recent proposal to promote credit card transactions, which they said must be carefully planned before being implemented.

In the meantime, they stressed the need for better healthcare services as well as improved port and marina infrastructure.