Interesting development as Francois Hollande dethroning of Sarkozy was built around anti-austerity and stimulus, but this is definitely a needed strategy if France wants to meet its deficit target.
France will cut state spending by 10 billion euros next year, excluding interest payments on its debt and pensions, as it strives to meet a deficit target of 3 percent of gross domestic product (GDP), President Francois Hollande said on Friday.
“Spending, excluding debt servicing and pensions, will be stabilized in nominal terms which will allow us to save more than 10 billion euros ($12.64 billion),” Hollande said in a speech at the state auditor’s offices.
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