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France Risks Running Out of Cash for Social Spending, Auditors Say
- France faced a budget deficit of 5.8 percent of GDP in 2024, exceeding the EU limit, raising concerns about social spending sustainability.
- The deficit expanded due to underestimated economic growth, tax cut effects, and high welfare costs, including migrant expenses estimated at €25 billion annually.
- The Court of Auditors, led by Pierre Moscovici, warned publicly about losing control of public finances and labelled welfare spending as out of control.
- Projections indicate that the social budget deficit will increase from €15.3 billion in 2024 to €22.1 billion in 2025, while the Court of Auditors warns that France may face a financial shortfall by 2027.
- The Court’s warnings and IMF recommendations imply France must cut social spending and reform pensions to avoid a looming liquidity crisis.
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26 Articles
26 Articles
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The French Social System Is Threatened by a Serious Financial Crisis
The French Court of Auditors has sounded the alarm over the state of public finances, warning that social spending is out of control. The Court warned that the lack of funds could affect social benefits payments as early as 2027.
·Estonia
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Coverage Details
Total News Sources26
Leaning Left3Leaning Right3Center3Last UpdatedBias Distribution33% Left, 33% Center, 33% Right
Bias Distribution
- 33% of the sources lean Left, 33% of the sources are Center, 33% of the sources lean Right
33% Right
L 33%
C 33%
R 33%
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