French minister says budget to be in balance in 2016

18th October 2010, Comments 0 comments

France wants to balance its public finances in 2016, Budget Minister Francois Baroin told the Le Parisien newspaper on Monday.

Baroin said he would put forward a programme for public finances under which the public deficit would be reduced to 2.0 percent in 2014, "the target being to return to a budget balance in 2016."

The public deficit is about 7.7 percent of national output, a record high level and more than twice the European Union limit of 3.0 percent.

The French budget has not been in balance for more than 30 years.

The National Assembly, or French parliament, is to debate from Monday budget revenues for 2011.

The minister also said that the system of taxation would be at the centre of the campaign to elect a new French president in 2012.

Tax reforms could not be made by early next year because there was not enough time, he said, adding that the French tax system was one of the most distributive in the world and that more than half of all French adults did not pay income tax.

© 2010 AFP

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