Connect to share and comment

French debt to peak in 2014, new budget plan shows

PlacardEnlarge
(Globalpost/GlobalPost)

PARIS (Reuters) - French debt will peak one year later than planned in 2014 as the country, hit by a bleak economic environment, pushes back its public deficit targets, the government's revised multi-year budget plan showed on Wednesday.

French debt will reach 94.3 percent of GDP in 2014 from a previous 90.5 percent target before going down to 93.0 percent in 2015.

The multi-year budget plan confirmed that France is also pushing back by one year, to 2014, its goal to bring its public deficit under an EU ceiling of 3 percent of GDP.

It also confirms that France aims to return to structural balance, stripping out the effects of the economic cycle, in 2016, although the nominal deficit will still be at 0.7 percent Of GDP a year later.

(Reporting by Ingrid Melander; editing by Mark John)

http://www.globalpost.com/dispatch/news/thomson-reuters/130417/french-debt-peak-2014-new-budget-plan-shows