The French government, under fire for flouting the EU Stability and Growth Pact, is aiming for a public deficit of 3.6 per cent of gross domestic product in 2004, and 2.9 per cent in 2005, back within the EU pact limits, Les Echos newspaper said today.
It is also aiming for a deficit of 2.4 per cent of GDP in 2006 and 1.9 per cent in 2007, the newspaper said in an article which was the latest in a series of reports on what is expected in the 2004 budget bill to be unveiled tomorrow.
A finance ministry spokesman declined comment on the report.
Finance Minister Mr Francis Mer, whose government expects a public deficit of four per cent of GDP this year, has vowed to get the deficit back in line with the stabilty pact - which sets an upper limit of three per cent of GDP - in 2005.
The government is struggling to limit government department expenditure and yesterday announced measures to try to rein in an expected record deficit in France's social security finances.
The European Commission, which polices adherence to the EU's stability pact, is waiting for details of the French 2004 budget bill and targets for future years before deciding whether to recommend corrective measures or disciplinary action.