France – The French Ministry of Economy and Finance expected a general deficit in the country of 5.1% of GDP in 2024 instead of 4.4% in previous estimates.
According to figures issued by the ministry yesterday, Wednesday, for the deficit to be at 5.1%, ten billion euros must still be provided, included in the French state budget this year, in addition to the ten billion announced in February 2024, until the deficit is at 5.1%.
The ministry indicated that a portion of these funds could be secured through a reduction in ministries’ expenses, and that municipalities, such as “other parties and local authorities,” would be asked to “participate in this reform.”
This high deficit in 2024 comes as a result of a strong decline in revenues in 2023, when the deficit then reached 5.5% instead of the expected rate of 4.9%.
The ministry pointed out that the debt will differ only slightly until 2027 in relation to the gross domestic product, as it will rise this year to 112.3% in 2024 and then it will reach 112% in 2027.
But debt service will rise from 46.3 billion euros in 2024 to 72.3 billion euros in 2027, according to data from the new French stabilization program presented on Wednesday.
The ministry spoke of “indicators of recovery,” and in general the ministry described the new goals announced Wednesday as “ambitious but credible.”
Source: AFP
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2024-04-12 13:55:34