2023-04-29 02:47:23
L’agence de notation Fitch ratings. MIGUEL MEDINA / AFP
The rating agency discusses recent social tensions that will weigh on the ability to reduce the country’s deficit and debt
Rating agency Fitch downgraded France’s rating by one notch to ‘AA-‘ on Friday, citing recent social tensions that will weigh on the ability to reduce the deficit and debt, as well as lower growth prospects. than anticipated. “Political Impasse and Social Movements (sometimes violent) pose a risk to Macron’s reform agenda and could create pressure for a more expansionary fiscal policy or a reversal of previous reforms.”writes the rating agency in a press release.
Read alsoWithout pension reform, France’s rating risked being downgraded
The Minister of Economy and Finance Bruno Le Maire regretted Friday the“pessimistic assessment” of Fitch, believing that the rating agency “underestimates the consequences of the reforms” especially pensions. He recalls in a press release “Total Determination” of the government “to restore the public accounts within the next four years” to reduce the deficit and the debt.
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