IMF warns France on budget deficit targets

The International Monetary Fund has warned France that it will have to carry out more spending cuts to ensure it reaches its deficit reduction commitments amid lower-than-expected growth expectations.

While France has predicted 2.25 percent growth for 2012, the Washington-based fund in its yearly assessment of the French economy said the economy will only grow by 1.9 percent next year.

"Under (IMF) staff's current projections, achieving the deficit target of three percent of GDP b...