Why deficits continue to widen despite the recovery and the end of “whatever the cost”

Why deficits continue to widen despite the recovery and the end of “whatever the cost”
Why deficits continue to widen despite the recovery and the end of “whatever the cost”

ANALYSIS – To revive and support growth within a year of the presidential election, the Castex government does not skimp on the resources deployed in defiance of the rules of sound financial management.

At first glance, the situation seems paradoxical. While the situation is improving in the health field and Bercy is counting on a 5% rebound in growth this year, public accounts continue to fall to abysmal levels.

The figures fell on Monday morning. 2020 will not be the darkest year with a public deficit which had exploded to 9.2% of GDP. A new record should be crossed this year … Estimated at 8.5% in the 2021 finance law and then raised to 9% in April, the public deficit should finally widen to 9.4% of GDP at the end of the year and the public debt to reach … 117.2%, according to the 2021 amending finance bill (PLFR) which will be presented this Wednesday in the Council of Ministers.

A 5% rebound this year

This deficit “Is the extension of the effort that we have made to protect our economy and at the same time the increase of this economic recovery that we want to have this 5% of growth figure which remains our objective”, justified the minister

This article is for subscribers only. You have 75% left to discover.

Subscribe: 1 € the first month

Can be canceled at any time

Already subscribed? Log in

Source

deficits continue widen recovery cost

 
For Latest Updates Follow us on Google News
 

PREV Your bills under the microscope: electricity 34% more expensive, how to win the match between energy suppliers (COMPARISON AND ADVICE)
NEXT marginal activity in the first half, down 93%