Paris, March 27 (QNA) - France's budget deficit fell to 5.1% of GDP in 2025, according to data released on Friday by INSEE.

The figures showed government revenues rose by 3.9% in 2025, up from 3.2% growth the previous year, while spending growth slowed to 2.5% from 4% in 2024. Despite the slowdown, expenditure still slightly outpaced economic growth, with GDP expanding by around 2%, leading to a modest real increase in spending.

Public debt stood at 115.6% of GDP at the end of 2025, down 1.6 percentage points compared with the end of the third quarter, the data showed.

Commenting on the figures, Prime Minister Sebastien Lecornu said the improvement reflected a policy of fiscal discipline and stability, adding that the government aimed to reduce the deficit to below 5% in 2026 despite geopolitical challenges.

Public Accounts Minister David Amiel said the deficit had been expected to fall to 5.4% from 5.8% in 2024, but came in better than forecast, signaling early results from fiscal consolidation efforts, though he noted it remained elevated. (QNA)