DECRYPTION – By continuing to spend too much, Paris could find itself subject to new procedures for excessive deficits.
With a public deficit forecast at 4.4% of GDP next year and a return to the limit of 3% in 2027 only, France could hardly escape the remonstrances of Brussels. While the European Commission was more lenient after Covid and European Finance Ministers are currently discussing a relaxation of budgetary rules, Commissioners Valdis Dombrovskis and Paolo Gentiloni on Tuesday resumed their role as guardians of the Maastricht Treaty and redistributed the bad points.
According to the so-called “European Semester” documents, France, like Belgium, Croatia and Finland, risks not following in 2024 the guidelines proposed by the Commission and endorsed by the Member States in July.
And by continuing to spend too much and not reducing energy support measures quickly enough, Paris could find itself subject to new procedures for excessive deficits. This time, with ten other countries including…