Reduction of the deficit
President Sarkozy has noted the publication by INSEE [National Institute for Statistics and Economic Studies] of the central government deficit, which stood at 7% of GDP in 2010. The European Commission will be notified of this figure.
This result is markedly better than the deficit forecast in the initial 2010 finance bill, which stood at 8.5% and had already been revised downward to 7.7% in the finance bill for 2011.
This reduction in the central government deficit demonstrates both the solidity of the economic recovery and the control of public spending. It vindicates the government’s economic strategy, based on reforms to encourage growth, strict and sustainable control of public spending and a rejection of across-the-board tax increases, which would jeopardize growth and competitiveness.
President Sarkozy reiterates France’s commitment to following the path of improving the public finances in order to bring the central government deficit back below 3% by 2013, in line with her European commitments./.