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 10% 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 10 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||-3.5||-2.8|
5 years of economic forecasts for more than 30 economic indicators.
|Bond Yield||-0.37||0.46 %||Sep 04|
|Exchange Rate||1.10||0.65 %||Sep 04|
|Stock Market||5,532||-0.29 %||Sep 04|
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September 12, 2019
Consumer prices rose 0.5% month-on-month in August, contrasting July’s 0.2% month-on-month drop.
September 4, 2019
The seasonally-adjusted IHS Markit Flash Composite Purchasing Managers’ Index (PMI) edged up to a nine-month high of 52.9 points in August, from 51.9 points in July.
August 30, 2019
Consumer prices rose 0.5% month-on-month in August, contrasting July’s 0.2% month-on-month drop, according to a preliminary estimate released by the Statistical Institute (INSEE).
August 29, 2019
According to a comprehensive estimate released by the French Statistical Institute (INSEE) on 29 August, GDP increased a seasonally-adjusted 0.3% in Q2 from the previous quarter, up from the preliminary estimate of 0.2% growth and matching Q1’s reading.
August 27, 2019
In August, the French Statistical Institute’s (INSEE) business climate indicator for the manufacturing sector rose by 1 point to 102 points.