French President Francois Hollande unveiled his first budget that heavily tightened spending and raised taxes on the rich.
The government plans to cut its budget deficit to 3 percent of gross domestic product next year from 4.5 percent in 2012. GDP is forecast to grow just 0.8 percent. The spending reduction is set to save EUR 10 billion.
Further, the government levied a 75 percent tax on earnings above EUR 1 million.
Elsewhere, Agence France Tresor said it will reduce bond auction for next year to EUR 170 billion from EUR 178 billion this year.
For comments and feedback contact: editorial@rttnews.com
Economic News
What parts of the world are seeing the best (and worst) economic performances lately? Click here to check out our Econ Scorecard and find out! See up-to-the-moment rankings for the best and worst performers in GDP, unemployment rate, inflation and much more.
June 05, 2026 16:18 ET A busy week for economic news flow saw a slew of reports being released that reflected the trends in the U.S. labor market. In Europe, economic growth and inflation data gained attention as the European Central Bank and Bank of England head for policy session later in the month. In Asia, the monetary policy session of the Indian central bank was in focus as the country, a major oil importer, reels under the pressures of a weaker rupee and rising inflation.