Bruno Le Maire pronounces 10 billion euros in extra financial savings this 12 months | EUROtoday

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Bruno Le Maire leaving the council of ministers, in Paris, February 14, 2024.

The Bercy groups had been getting ready the bottom for weeks. But the manager procrastinated, ready for a second, if not politically propitious, no less than comparatively peaceable to announce what quantities to dangerous information: the French financial system is displaying indicators of weak point. Bruno Le Maire, the Minister of the Economy, lastly selected the center of the winter holidays for this fact operation on the state of the French financial system, by inviting himself to the 8 p.m. present on TF1 on Sunday February 17. “Growth is slowing all over the world, particularly in Europe, with a significant growth revision in Great Britain and Germany, explained the number two in the government. And it is slowing down even more in China. All this has an impact on French growth. I will therefore revise French growth from 1.4 to 1% in 2024 “.

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A revision which will require 10 billion euros in additional savings this year and could justify a passage before Parliament, after the European elections, to present an amending budget. depending on the economic situation and in particular the level of interest rates, and the geopolitical situation”, he clarified. In the absence of a legislative textual content, the federal government can not cut back spending past 10 billion euros via regulation, even when this provides the benefit of velocity.

Bercy's forecasts for 2024, which dated from the fall, seemed increasingly out of step with those of international organizations, almost all of which expected GDP growth of less than 1% for France this year, compared to 1.4%. in budget documents. Bercy, however, ensured that the correction shows a slight improvement compared to 2023. Last year, GDP actually grew by 0.9% according to INSEE.

French growth is holding up better than other major developed countriesinsisted Bruno Le Maire, recalling that France was not “not gone through the recession box in 2023 » , unlike some of its big neighbors like Germany and Great Britain, to which it is most often compared. “We estimate that growth in 2024 will be higher than in 2023he continued. In particular thanks to the measures to simplify business life, and the structural reforms which have been announced”.

New expenses have multiplied

These measures additionally intention to reassure the ranking businesses, which is able to look once more on the high quality of the French signature in April. The goal of a public deficit lowered from 4.9% in 2023 to 4.4% in 2024 is thus confirmed. But the 16 billion euros in financial savings deliberate within the 2024 finances, adopted on the finish of final 12 months, and primarily ensuing from the cessation of disaster measures, is not going to be sufficient. Especially since new spending has multiplied in latest days, together with 400 million euros for farmers, and as much as 3 billion euros in assist for Ukraine.

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