The pandemic cost the state between 170 and 200 billion euros

In this context, the French government on Wednesday unveiled a draft 2022 finance law, dedicated to recovery and investment. Overall, this budget, the last of a five-year period, provides for an increase of 12 billion euros for 2022, with education as a priority, but also for environmental transition, justice and the interior.

This new project provides for the economy to return to its pre-health crisis levels by the end of 2021, thanks to emergency aid measures and the publication of the France Relainance Plan concluded with 100 billion euros.

The ministers also ensure that the 2022 budget France will continue to finance the Reliance Plan, which is considered by the executive as a roadmap for the country’s economic, social and environmental reform by 2030. By the end of 2021, 70% of this plan will have been committed.

The action plan also depends on an improvement in the state of public finances after two years marked by funding of the health crisis response in 2022. Thus, the public deficit will shrink significantly, with a forecast of less than 5% of GDP in 2022, followed by 8.4% in 2021 and 9.1% in 2020. The outlook for public debt is also down, with the lending rate rising to 115.6. % of GDP in 2021 to 114% in 2022.

As far as the public deficit is concerned, according to the economy ministry’s forecasts, it should fall from 9.2% of GDP in 2020 to 8.4% this year, then to 4.8% in 2022.

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