Rolling coverage of the latest economic and financial news, as Paris outlines the next stage of its battle against the coronavirus slump
- Paris unveils economic stimulus plan worth 4% of GDP
- Plan will boost competitiveness and encourage green energy
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The plan earmarks in particular €35bn for making the euro zone’s second biggest economy more competitive, €30bn for more environmentally friendly energies and €25bn for supporting jobs, officials said ahead of its official presentation late on Thursday.
With the plan equating to 4% of gross domestic product, France is ploughing more public cash into its economy than any other big European country as a percentage of GDP, one of the officials said.
France Recovery Plan of €100bn (4% GDP) to get back to 2019 activity level in 2022
With 3 main axes:
•€30bn for energy transition
•€35bn for competitiveness & reshoring of industry
•€25bn for employment, skills, health & solidarityhttps://t.co/YPkN1Fe05I
The plan also aims to put Macron’s pro-business push back on track with already flagged cuts in business taxes worth €10bn euros annually and fresh public funds to give a boost France’s industrial, construction and transport sectors.
Officials said the transport sector would get €11bn with €4.7bn targeting the rail network in particular while energy-efficient building renovations would be spurred with €4bn euros for public buildings and €2bn for homes.