French local authorities: economic improvement on the eve of a period of greater restraint
Dexia recently published its Economic Outlook Report 2010, which presents and analyses the changes to the financial situation of the French local authorities. The analysis presents an overview of local authority finances, but obviously omits to mention any disparities among the different categories of local authority, and within these categories. The document reports, in particular, on the following:
- Rising fiscal receipts following the rebound in transfer duties (duties levied during estate transfers)
- Social action costs that continue to rise
- Recovering savings after two years of a downward trend, with interest charges again on the way down
- falling investment and less recourse to debt
- a period of greater restraint in the offing
Current restraints on public finances will be reflected in the local budgets for 2011 and extend well beyond that.
View Economic Outlook Report 2010