Arab Today, arab today under eu pressure france unveils billions in savings
Last Updated : GMT 00:29:37
Arab Today, arab today
Arab Today, arab today

Under EU pressure, France unveils billions in savings

Arab Today, arab today

Arab Today, arab today Under EU pressure, France unveils billions in savings

French Finance minister Michel Sapin
Paris - AFP

France on Wednesday unveiled a nine billion euro savings plan over two years as it battles to reduce its budget deficit to below European Union limits.

In its so-called "stability programme" that each eurozone country must send to Brussels, France confirmed its budget deficit would be below the limit of three percent of gross domestic product in 2017.

The budget deficit of France, the eurozone's second-largest economy, will stand at 2.7 percent of GDP in 2017, just below the EU bar of 3.0 percent.

"These results show France's ability to clean up its public finances," the finance ministry said in a statement.

Some four billion euros ($4.23 billion) will be trimmed from the budget this year, including through 1.0 billion euros worth of cuts from social security and health spending. The government also expects to save 1.2 billion euros in 2015 thanks to lower servicing costs on public debt.

It is planning another five billion euros in savings next year.

The figures are in France's official economic report to Brussels, which has given Paris until 2017 to clean up its public finances or face possible fines.

Paris forecast however that it will continue to break the rules in the near future, with a budget deficit of 3.8 percent in 2015 and 3.3 percent in 2016.

And it said it would make less of an effort than requested over its so-called structural, or underlying, deficit.

Paris said it would reduce its structural deficit by 0.5 percent per year until 2017, whereas Brussels wanted a 0.8 percent effort in 2016 and 0.9 percent in 2017.

France issued a slightly sunnier outlook for its growth prospects, pointing to "increased competitiveness of our business ... the depreciation of the euro, low interest rates and a pick-up in the eurozone."

It said growth would be at 1.0 percent in 2015, rising slightly to 1.5 percent in 2016 and 2017.

These forecasts are "conservative", the government said.

The French economy expanded at a sluggish rate of 0.4 percent in 2014 as the government battled stubbornly high unemployment.

President Francois Hollande has launched a two-pronged attack to tackle joblessness and push for growth.

The first is known as the Responsibility Pact, a series of tax cuts for businesses in return for job creation.

The second is a package of reforms aimed at opening up France's closed economy, including extending the number of Sundays per year when stores can open their doors.

Most economists believe that France needs a growth rate of around 1.5 percent to create jobs.

Hollande has said he will not stand for re-election in 2017 if he does not succeed in bringing unemployment down.

Name *

E-mail *

Comment Title*

Comment *

: Characters Left

Mandatory *

Terms of use

Publishing Terms: Not to offend the author, or to persons or sanctities or attacking religions or divine self. And stay away from sectarian and racial incitement and insults.

I agree with the Terms of Use

Security Code*

Arab Today, arab today under eu pressure france unveils billions in savings Arab Today, arab today under eu pressure france unveils billions in savings

 



Arab Today, arab today
Arab Today, arab today Ideen Belmahdy happy to be part of “ Fashion Star”

GMT 17:00 2017 Sunday ,26 February

Ideen Belmahdy happy to be part of “ Fashion Star”
Arab Today, arab today Tourist guide explains types of tourism

GMT 18:28 2017 Saturday ,25 February

Tourist guide explains types of tourism
Arab Today, arab today Expresses Algerian history by woody figures

GMT 13:26 2017 Friday ,24 February

Expresses Algerian history by woody figures
Arab Today, arab today Iran complying with nuclear deal

GMT 07:14 2017 Saturday ,25 February

Iran complying with nuclear deal
Arab Today, arab today Ayat Abaza says state TV presented major stars

GMT 03:52 2017 Sunday ,26 February

Ayat Abaza says state TV presented major stars

GMT 14:48 2017 Sunday ,26 February

$100 billion wasted trying to beat the market

GMT 12:06 2017 Sunday ,26 February

Britain banks on robots, AI to boost growth

GMT 12:00 2017 Sunday ,26 February

China to allow more IPOs to attract capital

GMT 06:31 2017 Sunday ,26 February

Consumer prices up in Canada
View News in Arabic - Business: اقتصاد دولي
Arab Today, arab today
Arab Today, arab today
Arab Today, arab today Reading therapy relieves mental disorders

GMT 15:39 2017 Friday ,24 February

Reading therapy relieves mental disorders
Arab Today, arab today UK appoints 1st Scotland Yard chief in 188 years

GMT 05:14 2017 Thursday ,23 February

UK appoints 1st Scotland Yard chief in 188 years
Arab Today, arab today Penguins in the age of dinos

GMT 11:44 2017 Saturday ,25 February

Penguins in the age of dinos
Arab Today, arab today Pluto's unruly moons

GMT 06:31 2015 Thursday ,04 June

Pluto's unruly moons
Arab Today, arab today 'Constructive' Vauxhall talk with union

GMT 08:54 2017 Saturday ,25 February

'Constructive' Vauxhall talk with union
Arab Today, arab today Tesla back into red but revenue grows

GMT 07:27 2017 Thursday ,23 February

Tesla back into red but revenue grows
Arab Today, arab today Ola Ghanem hopes to work with M.Ramadan

GMT 07:23 2017 Friday ,24 February

Ola Ghanem hopes to work with M.Ramadan
Arab Today, arab today Ex-yoga missionary unleashes rage

GMT 12:16 2017 Thursday ,23 February

Ex-yoga missionary unleashes rage

GMT 06:08 2017 Thursday ,23 February

Actress Lobna Abdel Aziz proud of her career

GMT 12:35 2017 Tuesday ,21 February

63-Year-Old Woman Delivers Baby

GMT 13:47 2017 Friday ,24 February

Rabia Fatima reveals role of "Facebook" in her career

GMT 10:28 2017 Wednesday ,22 February

Milan laughs while Rome cries

GMT 20:33 2017 Friday ,17 February

To release new antiques collection

GMT 10:20 2017 Thursday ,23 February

Brazil's top diplomat resigns

GMT 11:54 2017 Thursday ,23 February

Saudis await visitors but will they come?

GMT 13:12 2015 Saturday ,09 May

Sheikh Sultan opens Sharjah Centre
Arab Today, arab today
Arab Today, arab today
 
 Arab Today Facebook,arab today facebook  Arab Today Twitter,arab today twitter Arab Today Rss,arab today rss  Arab Today Youtube,arab today youtube  Arab Today Youtube,arab today youtube
arabstoday arabstoday arabstoday arabstoday
arabstoday arabstoday arabstoday
arabstoday
بناية النخيل - رأس النبع _ خلف السفارة الفرنسية _بيروت - لبنان
arabstoday, Arabstoday, Arabstoday