The French sounded a little more bullish about their debt on Thursday with the news that Paris is cutting its deficit target for 2015 and that economic growth might might beat the forecast 1% increase in GDP.
2014’s fiscal gap is also smaller than expected, raising hopes France will at last get the right side of the EU’s 3% of GDP deficit limit, on schedule for 2017 after three extensions.
France only grew by 0.4% last year, and by the same amount in 2013
meaning Europe’s second biggest economy is contributing little to the continent’s economic recovery.
More reforms and an increase in savings are the next areas for government action, which will have been cheered by March’s rise in business confidence.
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