Bruno Le Maire, France’s Minister of Economy and Finance, defended his record amid scrutiny over the country’s deteriorating public finances during a Senate Finance Committee session. He attributed the projected 2024 deficit of 6.1% of GDP to current government decisions and criticized recent attacks on his integrity. Despite acknowledging past revenue shortfalls, he stressed that there was no intent to deceive. Ongoing discussions highlight the need for fiscal accountability and collective responsibility among government officials.
Bruno Le Maire Defends His Record Amid Deteriorating Public Finances
After serving as France’s Minister of Economy and Finance for seven years, Bruno Le Maire has firmly rejected any claims of wrongdoing or concealment regarding the worsening state of the nation’s public finances. His statements came during a session with the Senate Finance Committee, which is conducting hearings as part of an investigation into the country’s financial trajectory.
During a two-and-a-half-hour defense, Le Maire attributed the current financial challenges to the decisions of the present government. He expressed disappointment over the “attacks” and “lies” he claims to have faced in recent months. “When I am told that the deficit in 2024 will be 6.1%, it is the choice of the current government,” he asserted, emphasizing that had the measures he and former Minister of Public Accounts Thomas Cazenave proposed been implemented promptly, the deficit could have been reduced to 5.5% without raising taxes.
Current Economic Forecasts and Challenges
The anticipated public deficit for 2024 is projected at 6.1% of GDP, significantly higher than the previously estimated 4.4% in autumn 2023 and 5.1% in the spring. This situation is concerning, as it indicates that France will not meet the EU’s 3% deficit threshold until at least 2029, placing it at the lower end of European fiscal performance.
Le Maire attributed this fiscal decline to the extensive support provided during various crises and noted that tax revenues for the year fell short by €41.5 billion. He defended his record by stating, “There was neither fault, nor concealment, nor intent to deceive. There was fundamentally a serious technical error in revenue assessment.” He further clarified that there was an effort to maintain transparency and avoid any risk of manipulation regarding revenue assessments.
Despite Le Maire’s assertions, the president of the Finance Committee, Claude Raynal, indicated that the government had early internal communications warning of a potential fiscal drift, suggesting that they were slow to respond. In response, Le Maire maintained that Bercy acted swiftly by canceling €10 billion in credits in February, following a notable dip in growth projections.
As the discussions continue, current Minister of Economy Antoine Armand has emphasized the need for collective responsibility rather than individual blame. He expressed confidence in the capabilities of Bercy’s administrations while acknowledging the pressing need for fiscal accountability as the Senate prepares to hear from other key figures in the upcoming days.