French government to cut taxes on businesses, households

The French government plans to cut taxes by 24.8 billion euros ($29.2 billion) next year in an effort to boost the economy and create more jobs.

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Budget Minister Gerald Darmanin presented on Monday the country's budget for 2019, based on estimated economic growth of 1.7 percent.

To be able to finance President Emmanuel Macron's pro-business policies, the public deficit is expected to rise from 2.6 of GDP this year to 2.8 next year — still under the 3 percent EU limit.

Taxes on households will be reduced by 6 billion euros ($7 billion) and business taxes by 18.8 billion euros ($22.1 billion).

Official data show France's unemployment rate has been decreasing gradually, to 8.7 percent in June from about 9 percent last year.