the government plans 16 billion euros in savings, announces Bruno Le Maire

THE “whatever it costs” is well and truly finished. The Minister of Economy and Finance, Bruno Le Maire, declared during a meeting with journalists on Thursday September 14 that he had identified enough to generate 16 billion euros in savings. The government must present its budget for 2024 on September 27 while French growth is less dynamic than initially expected.

The executive now expects 1.4% growth in gross domestic product next year, after previously announcing that it would be 1.6%. “In 2024, growth will continue to increase” insisted Bruno Le Maire. The Minister of the Economy estimates that it will be driven by “manufacturing production”by the end of “the inflationary crisis” as well as by the “resumption of consumption”.

Earlier on Thursday, the European Central Bank raised its benchmark interest rate to its highest level. A measure intended to fight inflation but which increases the cost of debt for France, which should exceed 48 billion euros next year. The Minister of Economy declared that “this acceleration of debt reduction is fundamental at a time when all our European partners are committed to this path.” The government therefore intends to make 16 billion euros in savings, mainly through the gradual elimination of the tariff shield. The remaining six billion euros of savings will come from reductions in aid to businesses, aid for employment policy as well as the entry into force of the unemployment insurance reform.