TRANSLATION: Andreas D. Varga
AUTHOR: Le Monde
PHOTO: javno165

FRENCH FINANCIAL TROUBLES

SEPTEMBER 28 2009 21:19h

Fillon: We'l only stabilize the deficits in 2010

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Prime Minister François Fillon announced that the public deficit of France will reach 140 billion euro or 8,2 % of the GDP in 2009

In a Sunday interview, on September 27th, Prime Minister François Fillon announced that the public deficit of France will reach 140 billion euro, or 8,2 % of the GDP in 2009, but that it should be reduced to 115 billion euro in 2010. Mr Fillon makes the difference between the budget 2009 - budget of the reflation at the price of a very heavy deficit of the State - and that of the 2010, who will be - the budget of the resumption -.

- We can, thus, stabilize next year's global deficits. But in 2010, we shall vote for a multiannual law which will forsee a decline of the public spending over several years -, promised Prime Minister, assuring that the Budget - will not increase in volume in 2010 -. Mr Fillon warns nevertheless that in the absence - of an insufficient resumption of the growth, the social deficits are going to continue to increase -.

In this interview, François Fillon makes several announcements, concerning in particular measures as the bonus in the breakage and the hospital charge. Prime Minister confirmed that this last one will increase from 16 to 18 euro in 2010. As for the bonus in the breakage, it will be maintained in 2010, but reduced gradually by 1 000 to 700 then 500 euro before July 1st.


As for the taxability of the daily allowances in the event of an accident at the work, a controversial project proposed by Jean-François Copé, it will not appear in the budget 2010. Mr Fillon also announced that the movable capital gains will be subjected to the national insurance contributions from the first euro and that "pensions-hats" for the high leaders of companies "would be more strongly taxed". - No work income, the capital or replacement has to evade taxes, or the social contributions -, justified Mr Fillon.

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