French Public Debt to Rise to Record 66.1% of GDP This Year

March 17 (Bloomberg) -- France's public debt will rise to a record 66.1 percent of gross domestic product in 2005, more than forecast, as rising unemployment erodes government finances, according to an aide to Finance Minister Thierry Breton.

France yesterday reported to the European Union that its debt will probably rise to 1.117 trillion euros ($1.5 trillion) this year, said the official, who declined to be identified by name. In September, the government forecast debt of 65 percent of GDP this year. Under EU rules, debt shouldn't exceed 60 percent of GDP.

French debt has ballooned along with the deficit as the economy slowed in 2002 and 2003. Unemployment climbed to the highest in five years in January even after the economy expanded by 2.3 percent last year.

``At the moment, the government's top priority is growth and employment, said Maryse Pogodzinski, an economist at JPMorgan Chase & Co. in Paris. The debt is ``a threat to growth in four or five years.''

France, along with Germany and Italy, is pushing to loosen European Union budget rules to enable them to foster economic growth. Germany and France have been over the budget deficit limit of 3 percent of GDP since 2002, and France's debt-to-GDP ratio first surpassed the EU's 60 percent ceiling for in 2003.

Finance Ministry spokesman Benoit Gausseron declined comment on the debt level.

EU Budget Rules

France's public debt last year rose to 1.066 trillion euros, or 65.6 percent of GDP, up from 63.9 percent of GDP in 2003, government statistics office Insee said March 1.

Finance ministers failed to agree on a proposed relaxation of the budget rules on March 8 after clashing over the list of extenuating circumstances that would save high-deficit countries from sanctions. They meet again on March 20 to seek an agreement. If they fail, European leaders may have to come up with a compromise at a summit in Brussels on March 22-23.

The French Finance Ministry forecasts a budget shortfall of 2.9 percent of GDP in 2005, down from 3.7 percent last year, as spending growth is held at the rate of inflation and utilities make one-time payments in exchange for the government assuming their pension liabilities.

Oh my god this means the UK is now 4 times less in debt than France. Looks like your socialism system is working frogs! Keep it up!

Oh my god this means the UK is now 4 times less in debt than France.

No it doesn't, and YOU are the ones with a Socialist government, not us.
(By the way, this is your chance! otherwise, your situation would be even worse. But you might hav eto check taht out very soon)

Provisional estimates show that for the calendar year 2004 the UK recorded a government deficit of £35.8 billion, which was equivalent to 3.1 per cent of Gross Domestic Product (GDP). This exceeded the reference value in the Maastricht Treaty's Excessive Deficit Procedure, which sets deficit and debt targets of 3 per cent and 60 per cent respectively for all EU countries. However the UK operates on a financial year basis (April-March) and is assessed on the financial year, which is not yet complete.

At the end of 2004 general government debt was £481.4 billion, equivalent to 41.6 per cent of GDP. It remains substantially within the reference value for excessive debt.

These data were reported to the European Commission at the end of February 2005. General government is the total of central government and local government.

The data on Government deficit and debt under the Maastricht Treaty are calculated according to the Office for National Statistic’s (ONS) interpretation of the 1995 European System of Accounts (ESA95) and a United Nations Statistical Commission decision on the treatment of government receipts for use of the electro-magnetic spectrum. ONS also publishes a separate deficit figure consistent with a Eurostat decision which treats these receipts differently.

www.statistics.gov.uk . . .

So, Brit, a little calculation lesson:

€1.066 trillion is not 5 times (like you once said) nor 4 times (like you write here) nor even twice £481.4 billion. It's just HALF more, 50% more.

So, why do you want us to talk economics with someone who confuses 4 times more and 50% more???

Why do you want us to talk economics with someone who confuses national debt and budget deficit???

So, Brit, come here, knee down, and say:

"I'm a dumbass, I confused our budget deficit with our national debt. What I meant is that the UK's 2004 budget deficit is 4 times smaller than France's cumulated national debt, and that doesn't mean anything like most of what I post"

Bien vu Atlantic.
J´avais fait la même remarque hier sur un autre thread, et il nous remet ca aujourd´hui.. A croire qu´il aime ca.
C´est peut être de la mauvaise foi britannique, mais je pense qu´il a du être bercé trop prés du mur.

Sure Atlantic, that's according to the doctored figures you have! LOL!

Finance Ministry spokesman Benoit Gausseron declined comment on the debt level.

"I can't be bothered explaining myself to you stupid sheep! I am the fLinch Finance Minister spokesman! I will tell you what you need to know or not know. Now get back to work, or striking, sucking master's cock, or whatever the fuck leetle people with jobs do."


fff

Sure Atlantic, that's according to the doctored figures you have! LOL!

Doctored??? from STATISTICS.GOV.UK???
If you say so...

So, can you please complete your equation:

"Oh my god this means the UK is now 4 times less in debt than France."

x = 4 * y

x = French debt
y = UK debt

x = ?
y = ?

Can you complete that with your "undoctored" figures? (in the same currency unit) Just to see if you are comparing the same notions, just to see if it works...

I DARE you to do it!
100Ks if it works!

Mr Mathematician, you can ask for UncleMeat's help, but I remind you that he has not quite finished his additions program, he still cannot add 25 figures properly, so...

So, Brit? Not interested in 100 Ks?

x= ?
y= ?

You need help?

x= €1.066 trillion
y= £0.481 trillion = 0.481*1.4618 = €0.703 trillion

Does x = 4 * y ? Ah, no
Does x = 3 * y ? No, no, no
Does x = 2 * y ? Still not

Ignorant? Liar? Both?

`At the moment, the government's top priority is growth and employment, said Maryse Pogodzinski, an economist at JPMorgan Chase & Co. in Paris. The debt is ``a threat to growth in four or five years.

Four or five years? At least they have some time to relish lighting-paced growth that they enjoy today.