Image Source: The Connexion

Agencies:

France unveils €100 billion economy rescue plan

4th-September-2020

PARIS: France will spend 100 billion to help pull its economy out of one of Europe’s worst Coronavirus induced slumps, under a recovery plan that revives pro business reforms championed by President Emmanuel Macron with a greener tinge.

The $118 billion stimulus equates to 4% of gross domestic product, meaning France is ploughing more public cash into its economy as a percentage of GDP than any other big European country, an official said ahead of its formal launch later on Thursday.

France’s recession, marked by a 13.8% second quarter GDP contraction that coincided with a COVID-19 lock down and expected to generate an 11% drop in 2020 as a whole, has also been one of the region’s deepest.

Focused mainly on boosting companies and running over two years, the stimulus package earmarks 35 billion to make the economy more competitive and 30 billion to promote greener energy policies.

“This recovery plan aims to keep our economy from collapsing and unemployment exploding,” Prime Minister Jean Castex said on RTL radio. He further said the government aimed to create at least 160,000 jobs next year under the plan.