In a decisive move to align with European Union fiscal guidelines, France has pledged to reduce its public deficit to below three percent of GDP by 2027. French Finance Minister Bruno Le Maire made the commitment on Friday, emphasizing the nation's dedication to restoring sound public finances.
\"We have to come back to sound public finances and count on my total determination,\" Le Maire stated in Luxembourg. \"We will stick to the same path with the view to get the three percent, to be under the three percent by 2027.\"
This announcement comes after the European Commission indicated on Wednesday that it would propose initiating a \"deficit-based excessive deficit procedure\" for several countries, including Belgium, France, Italy, Hungary, Malta, Poland, and Slovakia, all of which currently have deficits exceeding the three percent threshold. France's deficit stood at 5.5 percent last year.
The EU's fiscal framework sets two primary objectives: a nation's debt should not exceed 60 percent of its GDP, and its deficit should remain under three percent. France's proactive stance aims to meet these criteria and stave off potential sanctions from the EU.
By committing to these targets, France not only addresses immediate fiscal concerns but also sets a precedent for economic responsibility within the bloc, reinforcing the importance of sustainable financial practices among member states.
Reference(s):
cgtn.com
