Headlines
ECB's Villeroy says France can limit budget deficit to 5.4%
Published by Global Banking & Finance Review®
Posted on June 12, 2025
1 min readLast updated: January 23, 2026
Global Banking & Finance Review®
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Published by Global Banking & Finance Review®
Posted on June 12, 2025
1 min readLast updated: January 23, 2026
France plans to maintain a 5.4% budget deficit by 2025, as per ECB's Villeroy, despite a revised lower growth forecast by the Bank of France.
PARIS (Reuters) -France's budget deficit will be 5.4% in 2025, in line with the Bank of France's target, even though the Bank has lowered the growth outlook for this year and the two following years, its head told franceinfo on Thursday.
Governor François Villeroy de Galhau is also a member of the European Central Bank.
After expanding 1.1% last year, the euro zone's second-biggest economy is set to grow only 0.6% this year, the Bank of France forecast on Wednesday, revising its estimate down from 0.7% projected three months ago.
(Reporting by Benoit Van Overstraeten; Editing by Barbara Lewis)
France's budget deficit is projected to be 5.4% in 2025, aligning with the Bank of France's target.
The Bank of France has revised its growth outlook down from 0.7% to 0.6% for this year.
François Villeroy de Galhau is the Governor of the Bank of France and a member of the European Central Bank.
The euro zone's second-biggest economy, France, expanded by 1.1% last year.
The budget deficit target is significant as it reflects France's fiscal discipline and economic strategy amid revised growth forecasts.
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