After the summer break, he will present a 100 billion euro stimulus package to propel the recovery. Spending decisions should be smart, Villeroy said.
“Public money is not unlimited,” he said. The “whatever it takes” must gradually give way to “when it’s necessary”. “
French households would have a savings pool of 100 billion euros by the end of the year. But in order for that money to flow into the economy, it was essential that the government ensure that taxes were not raised, or even reduced, because it could not afford to do so.
Highlighting the difficulties ahead, consumer confidence fell unexpectedly in July, as the number of people who now considered the time to save increased amid a surge in COVID-19 infections.
(Reporting by Richard Lough; Editing by Alexandra Hudson)