Indeed the danger of an effect snowball of debt is real

The France can afford a high budget deficit this year, but it must do everything to not engage public finances in a sustainable, dangerous and uncontrollable spiral. This is the message issued by François Fillon that is presented today by the Council of Ministers a new budgetary collective, the fourth since this fall, which integrates the social measures announced by Nicolas Sarkozy at the Summit of the 18 February (reductions of taxes, allocation of school enhanced, premium for the unemployed with few contributions, etc.), and the impact of the recession.

The premier table on a decline of 1 to 1.5 of GDP this year the budget being revised on the basis of 1.5, or the worst figure since... 1944 and believes not in fast recovery: "Today nobody will know when it will come out of this crisis." "What we know, is that throughout the year 2009 will be a year of crisis", he stressed, yesterday, on Europe 1, emphasizing "that no recovery plan will allow" to avoid recession. MEPs, François Fillon put forward the less poor French performance growth compared to other countries which spend yet sometimes more money to support their economies (read below).

"Relief effort".

The Government. The deficit of the State will alone be close friends with 104 billion euros in 2009, compared to 56.2 billion in 2008, and the public deficit (with local authorities and social security) rise 5.6 of GDP, instead of the expected 4.4 until then. It will still be 5.2 in 2010. In this context, Matignon officiated to maintain a European objective 2012 deficit to 2.9 of GDP, just below the 3 limit set by the stability pact. "If you remove this constraint, there is no safeguard", says an advisor. But the Budget Minister, Eric Woerth, prevents already in "The world": "this goal implies that we conduisions an unprecedented relief effort, that the economic situation is not getting worse and that growth is not sustainable low." François Fillon, will require "continue the policy in terms of reduction of public expenditure, i.e. to reduce all other expenses are not those of the stimulus plan".

Take on the minimum wage

The General review of public policies (RGPP) is not frozen, said Rue de Varenne, where it also intends to stand firm on the minimum wage, while the idea of a coup of substantial inch was discussed in the Executive Branch before the social Summit, and that it could soon return. The Prime Minister excludes all new recovery plan targeted on consumption, because this would leave an additional debt to future generations, without assets to face. While lurks a new day of protest, March 19, should be avoided, believes, "emotional policies, decisions that are cycled through with each other to meet surveys". Patrick Devedjian, continues on its side to ensure monitoring of the investments of the stimulus package, which will be associated with seven members of the majority ().

Indeed, the danger of an effect snowball of debt is real. The public debt, which was to reach 70 of GDP in 2009, will fly this year to 74 (67 in 2008) and wait for 77.5 of GDP in 2010. The Court of Auditors, which had warned against a crossing the threshold of 80 medium term, risk of her fears become a reality.