Bruno Le Maire will announce a major downward revision of growth for 2024 on Sunday evening

The government is finally facing the facts: its economic growth forecast for 2024 is no longer on hold. Bruno Le Maire will be on the set of TF1’s 20 Hours on Sunday evening to announce the bitter news. From 1.4%, Burse should cut its September 2024 gross domestic product (GDP) growth forecast to 0.9%. This figure is similar to that of the European Commission, which was announced on Thursday, and of the Bank of France, and is very close to the forecast of the International Monetary Fund (1%).

Economy Minister “In particular the weak German situation should be invoked to justify this revision, as it affects the entire euro zone”writes a newspaper Opinion This Saturday. Sluggish activity can also be explained by the rapid increase in interest rates set by central banks to break the spiral of inflation.

Also readSlow growth, a structural increase in unemployment… the French economy is still in a fog

Credit freeze

This low repeat of growth will not be painless for public finances. The budget trajectory will need to be reviewed to keep the government’s commitment to reduce the public deficit to 4.4% of GDP in 2024. Thus, Bruno Le Maire is expected to announce the savings plan on Sunday evening, after announcing the new growth forecast of Bercy. At least “10 billion euros”writing OpinionEstimate the the echo.

As we wrote a few days ago, these savings must be made through a credit freeze, which is determined by decree. A blow that will affect all ministries without exception. Because another possible option for the executive, which is to avoid resorting to the unpopular article 49.3 with the European election deadline, has been rejected by the government today to go through the draft reform finance law (PLFR).