Savings plan of 10 billion euros, French growth revised downwards… an update on Bruno Le Maire's announcements

French Minister of the Economy Bruno Le Maire during a press conference in Paris, February 1, 2024. YOAN VALAT – EPA/MAXPPP

The Minister of the Economy was invited to TF1 this Sunday, February 18, 2024. Bruno Le Maire announced a new savings plan of around 10 billion euros. He also lowered the French growth forecast.

The Minister of Economy and Finance, Bruno Le Maire, lowered this Sunday, February 18 from 1.4% to 1% the growth forecast for France's gross domestic product for the year 2024 .

"It's growth which remains positive, but which takes into account the new geopolitical context", he spoke on TF1, citing the war in Ukraine, the conflict in the Middle East, maritime transport problems in the Red Sea, the economic slowdown in China and the recession in 2023 in Germany.< /p>

This anticipated growth of 1% of GDP roughly matches the forecasts of the European Commission, the Bank of France and the International Monetary Fund. France is striving to keep its commitment to lower the public deficit to 4.4% of GDP in 2024, an objective confirmed by Bruno Le Maire.

Refusal to increase taxes

The minister announced 10 billion euros in savings on state spending while rejecting the idea of ​​a increase in taxes. "We have constantly refused, for seven years, with the President of the Republic, to increase taxes" , he said. "We will not deviate from this line".

Where to save money ?

In terms of savings, the minister announced that five billion euros would come from a reduction in "operating expenses&quot ; in "all ministries". The other five billion will come from public policies.

Bruno Le Maire thus mentioned a reduction of one billion euros in the envelope for public development assistance and a saving of & #39;a billion in the aid system "My renovation bonus" dedicated to the renovation of housing.

"Everyone will be called upon"

Another billion will be saved by state operators such as Business France, France Competences, the National Agency for Territorial Cohesion and the National Center for Territorial Cohesion. #39;space studies. "Everyone will be called upon to contribute to the extent of what they have today", said the minister.< /p>

The government leaves the door open to the presentation of an amended finance bill in the coming months. "We retain the possibility of make an amending budget in the summer depending on economic circumstances and the political situation", said Bruno the Mayor.