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French minister predicts 0.1% growth in 2013

Last Updated: Monday, April 8, 2013 - 17:09

Paris: French Economy and Finance Minister Pierre Moscovici has predicted that the country's economy will grow by just 0.1 percent in 2013.

It means the state's initial growth target of 0.8 percent would be missed, reported Xinhua

Speaking to radio Europe 1 Sunday, the French minister confirmed that the government will present in mid-April the revised growth and deficit figures to the European Commission.

Moscovici's prediction echoes the forecast by the European Commission and by the Organization for Economic Co-operation and Development (OECD). The latter also revised its forecast of French economic growth in 2013 from 0.3 percent to 0.1 percent in its latest outlook in March, as the economic think-tank estimated that growth in France "is set to remain weak and unemployment to rise further".

Moscovici said the growth would be 1.2 percent in 2014.

In 2015, "the French growth will get into a stride that will enable it to create jobs, with a 2-percent growth", he said.

Moreover, the minister announced that the public deficit target will be 3.7 percent of gross domestic product (GDP) in 2013 and 3 percent in 2014.

He explained that if to keep the initial deficit target of 3 percent in 2013, more austerity will add recession. "We do not want that," he said. "We are in a continuous effort to reduce deficits. This is good for France."


First Published: Monday, April 8, 2013 - 17:09
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