Economic growth in France is likely to reach 2.2 or 2.3 per cent this year, Budget Minister Mr Dominique Bussereau said today.
Mr Bussereau told France Inter radio the government had been cautious when it set its target of 1.7 per cent growth for 2004 and added: "We are more likely to be at 2.2 to 2.3 per cent."
He noted other organisations had also forecast higher growth this year for the euro zone's second largest economy. The state statistics office has forecast growth of 2.3 per cent.
Looking ahead to next year, Mr Bussereau said: "We will work out a realistic growth forecast. It is better to forecast a little less so that we have a nice surprise like this year, rather than making a mistake."
He said foreign trade was a weakness which needed to be tackled. "We don't export enough on good markets," Mr Bussereau said. "We have a big effort to make for our industry."
President Jacques Chirac and Prime Minister Jean-Pierre Raffarin, trying to win back support after defeats for their ruling conservative party in regional and European elections, have made economic growth a priority for 2004.
Mr Chirac said last week growth was returning and would help reduce unemployment, another government priority, but added the recovery was less strong than in the United States and Asia.