eu-to-admonish-france-on-deficit-rules-violations-which-may-be-accompanied-by-fines-bloomberg

EU to admonish France on deficit rules violations, which may be accompanied by fines - Bloomberg

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The European Union plans to warn France for violating the rules of deficit and debt, which could trigger the process of imposing fines and complicate election campaigns two weeks before the parliamentary elections. UNN writes about this with reference to Bloomberg.

Details

According to EU rules, countries with a debt of more than 60% of GDP and a budget deficit of more than 3% are subject to strict measures. Last year, France's deficit was 5.5%, and its debt was approximately 111% of GDP.

This debt will limit the ability of a future government to fulfill promises such as tax cuts or the reversal of market-friendly pension reform. Emmanuel Macron and Marine Le Pen of the far-right National Rally will be careful not to take actions that could further destabilize markets, which have already been shaken by the president's announcement of snap elections last week.

The financial markets will be the limit of what the National Rally plans to do. Whoever is in power will be limited by how financial markets react to their program

- said Famke Krumbmüller, Head of EEY's EMEIA Geostrategy Department.

France is not the only country on the list of countries with excessive deficits to be announced on Wednesday. Italy and five other countries will also be on the list. Spain and three other countries that violated the 3% limit were spared sanctions.

Recall

In France, Marine Le Pen and Jordan Bardella's National Rally party has privately removed from its website some of its defense policy proposals, including those related to deepening diplomatic relations with Russia.

Макрон розпустив парламент після перемоги французьких правих на виборах у ЄС10.06.24, 12:03

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