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Pensions, health, housing… France unable to reduce its spending

2024-03-25T17:14:46.665Z

Highlights: The slippage in the public deficit for 2023 well beyond 5% demonstrates France's difficulty in making savings. In the corridors of the Ministry of Finance, we expect a “ very tense ’ sequence. The deficit and debt figures published this Tuesday by INSEE risk having the effect of a hammer blow. France had committed to Brussels to reduce its deficit to 2.7% in 2027. Today, moreover, Bruno Le Mayor simply mentions a lower deficit objective. You have 80% left to discover. Flash sale €4.49/month for 12 months.


DECRYPTION - The slippage in the public deficit for 2023 well beyond 5% demonstrates France's difficulty in making savings.


In the corridors of the Ministry of Finance, we expect a

very tense

sequence , despite the efforts made for weeks to

prepare

public opinion.

The deficit and debt figures published this Tuesday by INSEE risk having the effect of a hammer blow.

Initially forecast at 4.9% of GDP, the 2023 public deficit will be

significantly

higher, Bruno Le Maire announced several days ago.

Since then, we have been lost in conjectures: some believe they know that it is expected at 5.3% of GDP;

others cite the figure of 5.7%.

Senator LR Jean-François Husson assures that documents from the Bercy administration - where he was invited on Friday - show a deficit of 5.6%.

In any case, this significant slippage will upset the debt reduction trajectory of France, which had committed to Brussels to reduce its deficit to 2.7% in 2027. Today, moreover, Bruno Le Mayor simply mentions a lower deficit objective…

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Source: lefigaro

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