France: The general deficit of 2026 will be higher than expected, but it will remain less than 5 percent
Paris, February 6/ WAM/ The French Ministry of Economy announced today that the expected general deficit for the year 2026, which was previously estimated at 4.6% of France’s gross domestic product, will witness a slight increase, but it will remain under the threshold of 5%.
In addition to the Ministry of Finance and Public Accounts, the Ministry stated that this amendment will be taken into consideration in preparing the 2026 budget, which will start its discussions soon.
France had provided its medium -term financial plan to the European Commission last October, which aims to reduce the general deficit to 2.8% by 2029 while maintaining the primary goal of reducing the deficit to below 3%, according to European financial rules. In a related context, the French Parliament adopted, today the “State Budget Project for the year 2025” permanently after a recent vote in the Senate, which ended a legislative path that witnessed obstacles, especially after the suspension of the text last December as a result of a supervisory decision by the Michel Barnier government. The new budget includes austerity measures worth 50 billion euros, aimed at reducing the general deficit to 5.4% of GDP in 2025, compared to about 6% expected for 2024.
The Ministry of Economy stressed that achieving this goal is “necessary”, noting that there is an accurate follow -up to the implementation of the budget, to ensure respect for all ministerial allocations, and to take any necessary corrective measures if necessary .. The government also reduced its expectations for economic growth for 2025 from 1.1% to 0.9%.
- For more: Follow Khaleejion 24 Arabic, Khaleejion 24 English, Khaleejion 24 Live, and for social media follow us on Facebook and
