France to miss deficit target, lowers growth projections
- Published
France's budget deficit will be around 4.3% of GDP in 2015, missing an earlier target, Mr Sapin said
France's finance minister Michel Sapin has said the country will not achieve a 3% EU budget deficit target.
France's budget deficit will be around 4.4% of GDP in 2014, drop to 4.3% next year, and will not go below 3% until 2017, he said.
Mr Sapin also lowered the country's growth projections for this year and next.
However, France was not requesting a change in European Union rules, he said at a press conference.
The country's lack of growth reflected "an economic reality" that affects Europe, Mr Sapin said.
Projections for growth were lowered from 0.7% to 0.4% in 2014, and down from 1.7% to 1% in 2015.
The government will maintain its current plan for 21bn euros (拢17bn) of public spending savings in 2015 while not raising taxes during that year, he added.
France plans to cut public spending by 50bn euros by 2017.
The country has missed a number of budget deficit targets, and has struggled with high unemployment and low growth.
In August three French ministers resigned amid a bitter row over economic policy.
- Published25 August 2014
- Published14 August 2014
- Published14 August 2014
