The French aviation sector is awaiting an important decision in the next 10 days



Al Ain newsletter Agencies
France is seeking, during the coming period, to take serious measures to save the sectors affected by the outbreak of the new Corona virus (Covid 19).

The French aviation industry is one of the sectors that have suffered greatly and suffered heavy losses from the pandemic.

The aviation industry is the largest export sector in France, with foreign sales reaching 64.2 billion euros in 2019, according to customs statistics.

French Finance Minister Bruno Le Mer said on Sunday that his country would announce a stimulus plan for the French aviation industry within 10 days.

The minister added that the measures would include setting up an investment fund to help small and medium-sized companies in the sector.

He pointed out that he wanted the presence of the four major French companies operating in the field of aviation, which are “TALSA”, “Safran SA”, “Airbus SE” and “Dassault SA” for the aircraft industry in the fund.

The French aviation plan will follow a stimulus package worth eight billion euros (8.9 billion dollars) for the troubled car industry in the country, which was announced last Tuesday and includes 5 billion euros in the form of state-supported loans to the French company, “Renault”.

Also among the affected sectors is the tourism sector, which witnessed a sharp decline due to the closure imposed by the outbreak of the Corona virus.

France announced in the middle of May this year, loans and funds estimated at more than 18 billion euros (19.4 billion dollars) to help the tourism sector in light of the Corona virus crisis.

After adopting plans to support the most affected sectors such as tourism, cars and air industries, the French government is preparing a plan to revive the economy for the fall semester.

The French economy picked up its breath again with the lifting of quarantine measures, but it will not return soon to the pre-crisis level, with expectations of surpassing the estimated contraction of -8% for the current year.

The French National Institute of Statistics “INSEE” announced last week that the decline in gross domestic product may reach about 20% for the second quarter of 2020, after recording a contraction of -5.8% in the first quarter.

The National Institute of Statistics also believes that the economic contraction of 8% for the year 2020, according to government expectations, remains a “unrealistic” scenario, because it is assumed that the situation will return to full nature from next July.


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