Placeholder canvas

France says will not meet EU deficit rules until 2017

Date:

Crisis-wracked France on Wednesday pushed back its target to hit EU deficit rules by two years, potentially putting the eurozone’s second-biggest economy on a collision course with Brussels.

Finance Minister Michel Sapin said Paris would not get its budget deficit down to the EU limit of three percent of gross domestic product (GDP) until 2017 — two years later than originally forecast.

France had promised Brussels that it would return to three percent next year, but Sapin said the deficit in 2015 would come in at 4.3 percent — a far cry from the maximum permitted.

For this year, Sapin said the deficit would be 4.4 percent of GDP.

Sapin also revealed that growth this year would be a sluggish 0.4 percent, following two quarters during which the economy stagnated completely.

Officially, Paris was banking on a growth rate of one percent this year, but Sapin had already admitted this was too bullish and predicted last month the economy would grow by “around 0.5 percent.”

The French economy is seen recovering slightly next year, with 1.0 percent growth, Sapin said.

LEAVE A REPLY

Please enter your comment!
Please enter your name here

Share post:

Subscribe

Popular

More like this
Related

From Deepfake Concerns To India’s AI Mission PM Modi Interacts With Bill Gates

New Delhi: Prime Minister Narendra Modi engaged in a...

NewsMobile Morning Brief

Actor Govinda Joins Eknath Shinde’s Shiv Sena Ahead Of...

Gangster-Turned-Politician Mukhtar Ansari Dies Of Cardiac Arrest

Banda: Gangster turned politician Mukhtar Ansari passed away at...

IPL 2024: Rajasthan Royals Defeat Delhi Capitals By 12 Runs

Jaipur: Rajasthan Royals clinched a 12-run win over Delhi...