The numbers give the spin.
Faced with the coronavirus crisis, the public deficit is expected to fall by 6.7% in 2021 and the debt to explode to 116.2%, according to forecasts in the 2021 draft budget. Suffice to say that, in this new financial paradigm, time discussions on a possible return to a balanced budget have been postponed indefinitely… European budgetary rules, which limit the public deficit to 3% of GDP and the debt to 60%, have also been suspended and subsequently submitted for revision .
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Now is not the time for large economies with the recovery plan of 100 billion euros over three years (2020-2022) to try to recover the economy.
A plan in addition to the 460 billion already mobilized (in direct aid and loan guarantee) by the State since March.
And, at the same time, current public expenditure remains high, more than 7 billion euros higher than in 2020.
Result: the financing need of the State should reach 282 billion euros
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