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France aims for extra 2014 budget cuts of 5 billion euros

Xinhua | Updated: 2013-03-09 04:26

PARIS - French Prime Minister Jean-Marc Ayrault on Friday unveiled the need to slash public spending by additional 5 billion euros (6.5 billion US dollars) in 2014.

"We need to find 5 billion euros in new savings in the state budget for 2014," Ayrault said in a statement.

"These savings will enable us to guarantee the restoring of public finances while also ensuring the financing of measures we have agreed on to bolster competitiveness, combat unemployment and reinforce welfare for the most destitute," he said.

With the aim, the Socialist government's fresh saving plan will be "based on the implementation of ambitious structural reforms on the expenditure of each ministry and its agencies," according to Ayrault.

He also reiterated the pledge to reach zero deficit by 2017 via "a balanced sharing of efforts between revenue and expenditure that involves all public authorities."

During the five-year governing, the Socialists planned to trim public spending by 60 billion euros in order to put the France's finances in order.

Due to an expected persistent feeble economy in the eurozone, the government acknowledged it will miss the target of 3 percent deficit this year despite efforts to garner more receipts through high taxes on the wealthy.

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