Bloomberg Anywhere Login

Bloomberg

Connecting decision makers to a dynamic network of information, people and ideas, Bloomberg quickly and accurately delivers business and financial information, news and insight around the world.

Company

Financial Products

Enterprise Products

Media

Customer Support

  • Americas

    +1 212 318 2000

  • Europe, Middle East, & Africa

    +44 20 7330 7500

  • Asia Pacific

    +65 6212 1000

Communications

Industry Products

Media Services

Follow Us

France May Need ’Additional Efforts’ on Deficit, EU Says

Jan. 17 (Bloomberg) -- France may need to take additional measures to tackle its budget deficit, European Union Economic and Monetary Affairs Commissioner Olli Rehn said.

“Important steps have been taken which include consolidation measures aimed at bringing the deficit to 3 percent of GDP, measures on competitiveness to lower in particular the fiscal burden on companies and the on-going negotiation to reform the labor code,” Rehn said in a written response to a question from the European Parliament. “In many cases, these reforms are still at a very early stage and additional efforts might still be needed.”

The French government “needs to undertake wide-ranging structural reforms to ensure a sustainable return to growth and to continue fiscal consolidation efforts to bring the excessive deficit procedure to an end,” Rehn said in the response, which is dated Jan. 16.

“The increasing unemployment also calls for specific attention,” Rehn said. “Finally, the deterioration of export competitiveness has resulted in serious external imbalances.”

At the same time, Rehn noted that “the yield on French bonds has decreased over the last year, reflecting the high confidence of investors.”

To contact the reporter on this story: Jim Brunsden in Brussels at jbrunsden@bloomberg.net

To contact the editor responsible for this story: Jones Hayden at jhayden1@bloomberg.net

Please upgrade your Browser

Your browser is out-of-date. Please download one of these excellent browsers:

Chrome, Firefox, Safari, Opera or Internet Explorer.