Middle East War Disrupts; France Estimates Economic Losses Over 200 Billion TWD
The French government estimates that the current economic losses to France from the Middle East war amount to 4 to 6 billion euros. Due to this impact, a decline in economic growth and a rise in inflation are expected, and the government is planning to cut spending.
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- 📰 Published: April 21, 2026 at 17:49
- 🔍 Collected: April 21, 2026 at 18:02 (12 min after Published)
- 🤖 AI Analyzed: April 21, 2026 at 20:36 (2h 34m after Collected)
Paris, April 21 (CNA) - French Finance Minister Roland Lescure said today that the estimated economic losses to France from the Middle East war currently range from 4 to 6 billion euros (approximately NT$148 billion to NT$222 billion). Prime Minister Sébastien Lecornu also mentioned in a letter to department heads that the war has caused at least 6 billion euros in losses to France.
Lescure said on the RTL radio program that the estimated current economic losses to France from the Middle East war are between 4 and 6 billion euros, including 3.6 billion euros in debt costs, which are still increasing due to rising interest rates.
He stated that Lecornu will announce news about fuel subsidies later today, possibly extending existing measures or perhaps having 'some other ideas.'
Le Monde reported that Lecornu, in a letter to department heads today, mentioned for the first time the losses to France's public finances caused by the Middle East war, estimating them to be 'at least 6 billion euros.'
Lecornu began by writing: 'The wars in the Near and Middle East, as well as the blockade of the Strait of Hormuz, all have a direct impact on our country.'
He listed impacts including an expected 0.1 percentage point downward revision in this year's economic growth rate to 0.9%, which will also affect tax revenues; a rise in the inflation rate, expected to approach 2%; and an additional burden from the deployment of French forces to protect France's regional interests. 'Strengthening French forces' external operations' and 'extending (the duration of operations) due to the continuation of the war' will cost more than 1 billion euros in 2026.
The letter concluded that all government departments must cut spending to achieve the goal of controlling the public deficit to below 5% of GDP by 2026. The government plans to freeze about 6 billion euros in spending, including 4 billion euros from the central government and 2 billion euros from social insurance.
Regarding the spending cuts, Lescure said: 'We will not cancel any programs, but we may have to take precautionary measures, technically called a freeze. We will freeze some spending, and if the situation improves, we will unfreeze it.' (Editor: Hsieh Yi-hsuan) 1150421
Lescure said on the RTL radio program that the estimated current economic losses to France from the Middle East war are between 4 and 6 billion euros, including 3.6 billion euros in debt costs, which are still increasing due to rising interest rates.
He stated that Lecornu will announce news about fuel subsidies later today, possibly extending existing measures or perhaps having 'some other ideas.'
Le Monde reported that Lecornu, in a letter to department heads today, mentioned for the first time the losses to France's public finances caused by the Middle East war, estimating them to be 'at least 6 billion euros.'
Lecornu began by writing: 'The wars in the Near and Middle East, as well as the blockade of the Strait of Hormuz, all have a direct impact on our country.'
He listed impacts including an expected 0.1 percentage point downward revision in this year's economic growth rate to 0.9%, which will also affect tax revenues; a rise in the inflation rate, expected to approach 2%; and an additional burden from the deployment of French forces to protect France's regional interests. 'Strengthening French forces' external operations' and 'extending (the duration of operations) due to the continuation of the war' will cost more than 1 billion euros in 2026.
The letter concluded that all government departments must cut spending to achieve the goal of controlling the public deficit to below 5% of GDP by 2026. The government plans to freeze about 6 billion euros in spending, including 4 billion euros from the central government and 2 billion euros from social insurance.
Regarding the spending cuts, Lescure said: 'We will not cancel any programs, but we may have to take precautionary measures, technically called a freeze. We will freeze some spending, and if the situation improves, we will unfreeze it.' (Editor: Hsieh Yi-hsuan) 1150421