French Prime Minister Delivers First Address to Parliament

Édouard Philippe

French Prime Minister Delivers First Address to Parliament
Edouard Philippe is the new Prime Minister of France. He gave his first speech to Parliament on the 4th of July. He detailed his reform for a roadmap in the address to the National Assembly. The PM’s message contrasted the one that Emmanuel Macron gave earlier this week. Macron outlined his vision to bring changes to the country at the palace of Versailles. Philippe is also a part-time crime writer. He boxes during his free time. He said that public spending cuts and tax cuts were key parts of the plan that Macron had to introduce reform in the EU. Philippe cautioned about the public debt that had hit 2.1 trillion euros. This is because it is close to the entire economic output of the country annually. The Prime Minister spoke to a parliament whose majority is Macron’s party.

Edouard likened this to dancing on top of a volcano that continued to rumble louder with each passing day. The PM noted that France was hooked to public spending. It did not solve the problem that existed in the country like all addictions. Philippe said that they would need a lot of courage and will to break the harmful habit. The independent auditor of France recently revealed that the country had a deficit of €8 billion in the current budget. This does not bode well with the European Union that has set an upper limit of 3pc of the total national income. Philippe pointed to Germany and how it spent only €98 of every €100 that it raised. France raised €117 and spent €125. He warned that this is not sustainable and would not last long.

Edouard assured that the public deficit would be reduced to below three PC of the country’s GDP. He also said that they would cut the tax burden by a percentage point. This would be done over the course of a five-year period. He said that France could not sustain being a champion of both taxes and public spending. They would have to let off on one if there was to be any chance of economic recovery. One of the key agendas is the overhaul of the labor law that is considered very rigid. The CGT trade union has retaliated by calling for strikes and protests. Philippe said that they would raise the price of cigarettes by €3.

http://www.telegraph.co.uk/news/2017/07/04/france-dancing-volcano-state-...

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