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Home BUSINESSFrance's tax policy reaches ‘limits of acceptability': EU
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Wed, 13 Nov, 2013 03:55:33 AM
FTimes News Desk, November 13
 
President of the European Commission Jose Manuel Barroso. Photo - AFP / Lehtikuva.
EU Commission President Jose Manuel Barroso said late Monday France's fiscal policy has "reached the limits of acceptability", with high company taxes weighing on growth, news agency STT reported quoting AFP.
 
In an interview with a French television Barroso said the French should reduce government spending to stimulate growth.
 
He, however, recognized the fact that the budget proposal for next year is “overall satisfactory”.
 
France, the eurozone's second-biggest economy, exited recession with 0.5 percent growth in the second quarter, but is still limping.
 
According to AFP, the eurozone's biggest economy, Germany, on the other hand is blazing along, with data last week showing its trade surplus had hit a record high above six percent of GDP.
 
Barroso said the Commission was planning on Wednesday to "do a deep analysis" of imbalances in the German economy.
 
 
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