France Defies EU Fiscal Rules, Barclays Economist Warns

France Defies EU Fiscal Rules, Barclays Economist Warns
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France is expected to ignore European Commission fiscal consolidation recommendations, according to Barclays economist Silvia Ardagna. She warns of a trade-off between political stability and budgetary discipline. The government may water down earlier proposals to maintain its position.

  • France anticipated to reject EU fiscal consolidation advice, contrary to ECB's stance.
  • Trade-off between political stability and fiscal discipline expected in French policy decisions.
  • Government likely to dilute previous fiscal proposals to maintain coalition cohesion.
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