France has managed to pick up some speed in showing signs of recovery from the European recession. The signs that the french economy is getting better stems from the fact that the french government has decided to cut its budget deficit target for the year of 2015. Finance Minister of France, Michel Sapin, commented on the data of the deficit from the previous year. He mentioned that the figures of the budget deficit were projected to be 4.4% but ended the 2014 year at 4%. There is a similar situation for the year of 2015; the budget deficit is forecasted to decrease again at 3.8%. Europe's second largest economy showed signs of growth in 2014 and has plans to continue to grow. Despite the increasing unemployment rate in the country, there are positive signs to the economy and business confidence continues to improve. It will be interesting to see if France can maintain this economic growth and maintain these cuts in budget deficits.
Article Link: http://www.bbc.com/news/business-32063448
1 comment:
It's a positive sign but we would need more than just the smaller figure of budget deficit to conclude it, as budget spending depends a lot on government policies during that year. In fact the increasing unemployment rate in my opinion is a better indicator of economic performance (although not entirely).
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