France’s AAA Credit Rating Affirmed by S&P on Budget Confidence

France’s standing as one of the world’s safest borrowers was affirmed by Standard & Poor’s, reflecting confidence that the euro-area’s second-largest economy will rein in its budget deficit.

At the end of a year in which rating companies downgraded the debt of European nations from Spain to Ireland, New York-based S&P said yesterday that France deserves a AAA sovereign credit rating because of the “wealth and depth” of its economy and the view that President Nicolas Sarkozy’s government will consolidate its budget gap.