Economic policy

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When I took office as Prime Minister, I encountered a 5.2% deficit. And in six months, the government reduced that deficit to 4.5% despite very weak growth. And the Audit Court [Attorney-General’s Office] – whose judgment, as you know, is unbiased – welcomed this unprecedented and considerable structural effort. And as for growth in 2012, as you know, it was negative in the last quarter of last year: -0.3%. In the Euro Area, it was -0.6%, in Germany -0.6% and in Spain -0.7%. At -0.3% France is certainly doing better; we’re not satisfied, but it’s a fact. And with even weaker growth, it’s true we won’t achieve the 3% deficit in 2013 – with weak growth, as I’ve just recalled. But the target, ladies and gentlemen, remains the same. I remind you here, it’s the President’s commitment: a zero deficit by 2017. It’s our target; it will be stuck to.

And why must we stick to it? Because it’s about France’s independence. It’s not because others might dictate it to us, it’s not because might be imposed upon us; it’s because France wants to regain her room for manoeuvre, not pass on the bill to future generations, regain room for manoeuvre to invest, improve the situation of French people; it’s a matter of sovereignty and national independence; it’s our responsibility. That’s why, I repeat, we must remain on course, steadily, not penalize economic activity but act with genuine discipline and constancy, modernizing the work of the authorities.

And as you know, next Friday the European Commission will be publishing the growth and therefore deficit situation of each Euro Area country. As I said last week, because we won’t have reached 3%, we’ll talk to the Commission and our partners to find the best possible timetable in order not to depress economic activity in 2013. We won’t be held responsible for damaging the very weak growth in 2013. That’s the commitment I make to the nation’s representatives.

So I’d like to remind you of the two levers that we, you and the country have for growth. Firstly, the National Pact for Growth, Competitiveness and Employment, and the R&D tax credit for restoring companies’ margins; you voted for it; well, companies must use it! I call on everyone, including you deputies, to go to companies and tell them, “you have this credit, you have this plan; what are you doing with it for growth, investment and employment?” That’s what I’d also like to tell you.

And the second lever: tomorrow, the President and I will be holding a seminar on investment. Public investment. I’ll be announcing a number of guidelines at the end of the seminar. Public investment, in partnership with the local authorities and the private sector, means investment in high-speed Internet and digital technology nationwide. It means transport, housing, the energy transition and health.

Finally, I’d like to remind you we have all the tools: the Growth Compact, as I recalled; the agreement on job security; intergenerational contracts; and future jobs. Well, it’s up to all the business players and regional authorities to grasp these levers and act to restore to the country the growth and prospects it expects. (…)./.