deficit sinners France again gets more time to save. The second-largest economy in the euro zone must comply with the EU deficit limit of three percent of economic output until 2017 said the Vice-President of the European Commission, Valdis Dombrovskis, in Brussels on Wednesday.
Originally, France meet the goal already this year.
The European Commission’s decision was made in the course of the analysis of the economic policies of the EU member states. This had to ensure submit their draft budgets for the current year. The Commission had explicitly France, Italy and Belgium set a deadline of March to bring their national budgets in order.
The Commission urged the country but on Wednesday to step up its efforts to rebalance the budget. She put the Government’s new goal is to bring the budget deficit by 2017 under the three-percent mark. Moreover, you should with additional spending cuts this year, the structural deficit, the economy influences hides can be lowered by 0.2 percent.
next test in three months
The Commission intends to examine in three months whether the government responding to, otherwise face penalties.
The case of France was identified as a particularly sensitive issue. The country had already given more time to press its excessive deficit twice. Theoretically, the European Commission could impose fines in the billions for breach of the deficit targets.