France’s Le Maire Says New Lockdowns Threaten Growth Target

(Bloomberg) -- France will miss its economic growth target this year if another nationwide lockdown is imposed to contain the spread of the coronavirus, Finance Minister Bruno Le Maire said.

“If there is a decision of lockdown in France of course it will have a direct impact on growth forecasts and it will be very difficult to meet 6% growth,” Le Maire said in an interview with Guy Johnson on Bloomberg Television.

The French government is under mounting pressure to implement tougher restrictions as soon as this week, as doctors and researchers sound the alarm over new, more contagious variants of the virus. Prime Minster Jean Castex said earlier Monday there are “worrisome” indicators, and decisions will have to be made this week.

The government has set a growth target of 6% for 2021, based on its expectations that the economy will rebound sharply once restrictions are lifted. Le Maire had already warned that target was a challenge.