French authorities plan to reduce the state budget deficit to below 3% of GDP by 2027, as required by EU standards. This was stated by Minister of Economy and Finance Bruno Le Maire, the newspaper reported. La Tribune.
According to him, in 2023 the budget deficit will be 4.9 percent and expenditures will be 496 billion euros. In 2024, expenditures are planned to be reduced to 491 billion euros and the deficit to 4.4 percent of GDP. By 2025, the deficit must fall to 3.5%.
To save money, government procurement will be reviewed and the footprint of government institutions will be reduced by 25%. It is also planned to cancel some subsidies introduced due to high inflation.
Minister Delegate Tom Cazenave announced the government’s plans: “We need to rethink public procurement to save €500 million next year. And as part of this, I want to deliver an ambitious reform of the public ownership portfolio.”
According to media reports, refusing to compensate for increased gas and electricity tariffs will save €14 billion in 2024. The funds will be used for education and the military.
Before now France encountered With the increasing budget deficit.
Previously French warned It’s about the increase in electricity prices in 2024.