Press Release: Commission recommends abrogation of excessive deficit procedure concerning France

The European Commission has decided to recommend that the Council abrogate the excessive deficit procedure (EDP) concerning France, since the deficit fell to 2.9% of GDP in 2005 and is projected to decrease further in 2006 and 2007 with a progressive phasing out of the recourse to temporary measures. The debt increase trend has also been inverted recently. This indicates that the correction of the deficit is credible and reflects the positive impact of the better expenditure control over the last few years. Looking ahead, achieving a balanced budget by the end of the decade remains a key objective to be met by France in order to secure the long-term sustainability of public finances.