France to delay budget presentation to EU

(PARIS) - France will delay submission of its three-year budget to the European Union by around a week, the finance ministry said Tuesday, after a government reshuffle likely to trigger changes in economic policy.

The move comes after a streamlined government was put in place last week due to a poor showing by the ruling Socialists at local elections, with new finance minister Michel Sapin hinting Paris may try to obtain an extension of an EU deadline to reduce its public deficit.

This deadline to bring it down to 3.0 percent of output from 4.3 percent last year has already been extended by two years by the European Union to the end of 2015.

"There have been precedents (for delays in presenting the report), particularly when government changes have happened," the ministry told AFP.

France had been due to present its budget plan to parliament on April 15, which would then have two weeks to validate and forward it on to the EU Commission for approval.

The ministry said Tuesday the budget for the next three years was now likely to be submitted to the cabinet for approval on April 23 and would immediately be passed on to parliament.

This means the EU Commission will receive the report around the beginning of May.