France: Staff Report for the 2015 Article IV Consultation
IMF Staff Country Reports, July 10, 2015
Source details
- Canonical URL
- France: Staff Report for the 2015 Article IV Consultation
Other formats
Bibliographic details
- Published: July 10, 2015
- Series: IMF Staff Country Reports
- DOI: https://doi.org/10.5089/9781513545912.002
Overview and Outlook
- The report highlights that a solid economic recovery in France is under way.
- The economy is expected to expand by 1.2 percent in 2015.
- The recovery is supported by an accommodative external environment.
Drivers of the Recovery
- Sharply lower oil prices.
- A depreciated euro.
- Low interest rates on account of quantitative easing.
- The recovery in other euro area countries.
- Expected transmission channels:
- Underpin household consumption.
- Lift export growth.
- Eventually foster a rebound in investment.
Fiscal Strategy and Policy Framework
- The fiscal strategy is set out in the current multi-year budget law and the 2015 Stability Program.
- The aim is to bring the headline deficit below 3 percent of GDP by 2017.
- The planned adjustment is gradual and based exclusively on spending containment.