Fiscal Balance in France
France - Fiscal Balance
Government announces largest fiscal adjustment in 30 years
On 28 September, the government presented its budget for the year 2013, in which it aims at cutting the fiscal deficit to 3.0% of GDP in 2013 from the 4.5% of GDP shortfall expected for this year. The government plans to narrow the fiscal gap to 0.3% of GDP by 2017. According to the text, the government projects an optimistic 0.8% GDP expansion for next year (Consensus Forecast: +0.5%). The draft foresees an adjustment of over EUR 30 billion, the largest in three decades, based on tax hikes and spending cuts. Only a third of the adjustment will come from spending cuts, the remaining two thirds based on additional revenues through higher taxes. The President Hollande's Socialist government plans steep tax increases for the top 11% of earners, temporarily lifting the levy up to 75% on incomes above EUR 1 million. These measures come on top of the previous tax increases announced in July. Meanwhile, the other EUR 11 billion in spending cuts include a reduction in operating costs and slashing investment.
France - Fiscal Balance Data
|Fiscal Balance (% of GDP)||-4.1||-3.9||-3.6||-3.4||-2.6|
5 years of economic forecasts for more than 30 economic indicators.
|Bond Yield||0.69||0.46 %||Dec 11|
|Exchange Rate||1.14||0.65 %||Dec 11|
|Stock Market||4,742||-0.29 %||Dec 11|
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November 29, 2018
France’s economy picked up steam in the third quarter, according to a comprehensive estimate released by the Statistical Institute (INSEE).
November 14, 2018
On 14 November, the Statistical Institute (INSEE) reported that consumer prices rose 0.1% from a month earlier in October, contrasting a 0.2% month-on-month decrease in September.
November 14, 2018
France’s economy picked up steam in the third quarter, according to a first estimate released by the Statistical Institute (INSEE).
November 9, 2018
In seasonally-adjusted terms, industrial output contracted 1.8% month-on-month in September, following a modest 0.2% uptick in August (previously reported: +0.3% month-on-month s.a.).
November 6, 2018
In October, the seasonally-adjusted IHS Markit Composite Purchasing Managers’ Index (PMI) edged up to 54.1 from 54.0 a month earlier, pointing to a roughly stable pace of growth in services- and manufacturing-sector activity.