France seeks billions for defence boost amid fiscal challenges
On Thursday, France's Economy Minister, Eric Lombard, announced that defence sector companies will need nearly 5 billion euros to speed up production in line with the country's expanded defence efforts.
Eric Lombard also mentioned that the public bank Bpifrance will launch a new fund, amounting to 680 million CAD, to finance defence projects. Citizens will have the opportunity to invest "for the long term," with a minimum deposit of 760 CAD.
The minister spoke ahead of a meeting scheduled for Thursday at 9:00 AM ET at the Ministry of Finance, which will involve private investors and the defence industry.
The meeting's purpose is to secure funds to bolster the nation's defence. France aims to increase the percentage of its GDP allocated to defence spending from the current 2.1% to 3.5%.
However, the country already has a substantial budget deficit and public debt. On Thursday, the head of the central bank, François Villeroy de Galhau, cautioned against excessive spending, stressing that the costs of enhancing the defence sector should be carefully estimated and funded appropriately.
