France / Kovid: MEPs validate budget expansion of EUR 7.2 billion

French deputies approved budget expansion of 7.2 billion euros to supply solidarity funds and cover short-term work expenses, key measures imposed on the economy to deal with the consequences of the Kovid-19 health crisis, reports Thursday The press of the hexagon.

This extension was requested by the government for a solidarity fund dedicated to companies, and partial activity whose remaining credits were insufficient to cover the rest of the year.

A draft decree submitted in advance by the Executive for the opinion of MPs has received in principle the green light from the members of the Finance Committee of the National Assembly.

The government of Jean Castex plans to allocate 6.7 billion euros to finance the solidarity fund and 500 million euros for partial activity.

The Finance Committee of the Senate, dominated by the right-wing opposition, also hinted to the media on the draft decree “but with strong reservations”.

With the third wave of the epidemic and the gradual lifting of activity restrictions, the government has decided to extend support measures imposed for several months at the onset of the health crisis.

For the month of April alone, marked by recombination, the Ministry of Economy and Finance estimated the total cost of aid at 11 billion euros, while the government has only 30 billion euros for the entire 2021.

Following the publication of the advance decree, the amount of the solidarity fund would thus increase to 12.9 billion, partial emergency activity to 1.2 billion and 3.9 billion to the state’s financial contribution.

READ  Biden promises maximum mobilization against Kovid

In France, the policy of “whatever the cost” was advocated by President Emmanuel Macron in the event of an economic crisis after Kovid-19, cost the state 168 billion euros in 2020. 424 billion will be spent over three years between 2020 and 2022.

For the current year, 55 billion euros will have to be raised, according to the government.

The French public debt reached around 120% of GDP last year due to the health crisis, generating an additional 215 billion euros in public debt.

You May Also Like

About the Author: Hanley Mallin

Internet geek. Wannabe bacon enthusiast. Web trailblazer. Music maven. Entrepreneur. Pop culture fan.

Leave a Reply

Your email address will not be published. Required fields are marked *