France's news in English

Editions:  Europe · Austria · Denmark · France · Germany · Italy · Norway · Spain · Sweden · Switzerland

'France must balance its budget' - Moscovici

Share this article

'France must balance its budget' - Moscovici
Pierre Moscovici. Photo: Eric Feferberg/AFP
10:48 CET+01:00
Finance Minister Pierre Moscovici said on Thursday that France had a "duty" to reverse years of budget deficits.

"In the past 30 years, France has not been able to pass a balanced budget. State debt rose to an unacceptable €1.7 trillion ($2.2 trillion) in 2011.

It is our duty to reverse this," Moscovici wrote in a column for the German business daily Handelsblatt.

France intends to lower its deficit to the European Union's ceiling of 3.0 percent of gross domestic product next year and start bringing down its debt from 2014, the minister said.

"This is an ambitious plan and we intend to implement it without striving for an old-fashioned budget policy of tax and expenditure increases," he said.

"Over the next five years, there will be more cuts in spending than increases in taxes and that will bring in €60 billion," Moscovici said.

Last week, the International Monetary Fund warned that France's growth outlook "remains fragile" and said that it would probably miss its target of reducing its public deficit to three percent of output in 2013.

Get notified about breaking news on The Local

Share this article

The Local is not responsible for content posted by users.
Become a Member or sign-in to leave a comment.

From our sponsors

VIDEO: Three surprising facts that will make you want to visit Malta

Game of Thrones has ended but it lives on in Malta! Find out how and learn two more unexpected facts about this little archipelago in the middle of the Med.