On Friday 30 June, in response to the report by the French Court of Auditors showing the slippage in the country's government finances, the Commissioner for Economic and Financial Affairs, Pierre Moscovici, called on France to make further savings in order to comply with its commitment to bring its public deficit low 3% of GDP in 2017 (see EUROPE 11819).
The Commissioner referred first of all to the dialogue between his services and the previous French government. Although the report by the French Court of Auditors casts doubt on the accuracy of the financial trajectory of the French authorities, Moscovici said on Radio France that this was not his opinion. However, he took pains to stress that the Commission had not found the budgetary forecasts issued by the French State for 2017 to be realistic – either in November 2016 (see EUROPE 11664), or in May 2017 (see EUROPE 11786).
Although he declined to make specific recommendations as to how the deficit can be brought below the 3% of GDP mark, the Commissioner said that this should be done through savings. He said that he feels there is merit in the idea of the French Prime Minister, Édouard Philippe, not to increase taxes. Moscovici also called on the French authorities to look at improving the quality of public expenditure. It will be necessary to prioritise public spending and give precedence to investment, he said. (Original version in French by Lucas Tripoteau)