Paris breathes. The government deficit in France amounted to 4.0% of GDP in 2014, significantly less than the last goal of the government, which stood at 4.4%, according to preliminary results of the national government accounts public published Thursday by INSEE.
But the public debt rose from 84.4 billion last year to $ 2,037.8 billion, a new record of the equivalent of 95% of GDP against 92.3% a year earlier. It protrudes slightly below the mark of 95.2% retained in the final version of the Financial trajectory to last year.
3.8% deficit in 2015?
By comparison, the deficit, which aggregates account balances of the State, local authorities and social security funds, accounted for 4.1% of national wealth end of 2013.
a statement, Finance Minister Michel Sapin stresses that better-than-expected 2014 open “the prospect of a downward revision in the government deficit in 2015 to around 3.8% of GDP” against 4.1% planned so far.
The government was counting originally on a public deficit of 3.6% of GDP in 2014, a forecast raised to 3.8% in the spring and 4.4% fall when he seriously revised down from 0.9% to 0.4%, its expectations for economic growth this year.
Third period of 6 years in Brussels
Citing the negative effects of low inflation and growth, he had given up at the same time to reduce this deficit below 3% of GDP by 2015. This decision was endorsed by the European Union, which granted a new deadline, the third in the space of six years, to France to get there, this time in 2017, with a first stage to 4.1% end of 2015.
With the recent announcements of negative balances for government accounts as Social Security lower than originally planned, the government had made it clear that the total deficit in 2014 would be less than 4.4%.
In a statement, Michel Sapin states that “the government is fully confident in its ability to bring the deficit below 3% by 2017, while strengthening the recovery in activity and funding priorities “.
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