Standard & Poor’s rating unchanged France – Le Point

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Agency Standard & Poor’s maintained Friday notes evaluating the credit worthiness of France, praising the efforts of reform even if it considers Paris too optimistic about deficits and jobs. The agency “confirms the long-term ratings AA and short-term A-1 + in foreign currency and local currency it gives to the French Republic,” according a statement. The long-term rating, the best known, and is the third best in the gradation of S & P. ??

It also maintains a “stable” outlook for these ratings, which means that “factors of risk to the credit quality of France are balanced, and the possibility of an increase or a downgrade in the next two years is less than one in three. ” Standard & Poor written elsewhere that lower burdens on businesses contained in the “stability pact” is “a positive factor” and believes that the current government “clearly stands out” by his efforts to reduce spending while “‘s seems progress towards structural reforms to improve the business environment. “

” The plan to reduce the cost of labor and corporate taxation may enhance the competitiveness and growth potential the economy in the medium term “, although short-term effect” on growth is uncertain because it depends on the progress of investment spending by the private sector and how it will compensate or not the decline public spending, “Judge agency. Downside, however, Standard & Poor’s considers the French government too optimistic on deficit reduction, writing in his statement: “We expect that the public deficit will reach 3.8% of GDP in 2014 and decline to 2.7% in 2017″, where Paris hopes to reach a ratio of 1.3% in 2017. Moreover, measures of agreement “may not be sufficient to boost employment,” is the primary objective of the pact of responsibility, says Standard & .
Poor’s

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