Top French banker: Le Pen's euro exit would cost billions

Big heads of French presidential candidates, Marine Le Pen, left, of the far-right National Front, and Francois Fillon of the right-wing Republicans party, join the Nice Carnival parade, Saturday, Feb. 11, 2017, in Nice, southeastern France. Floats in the Carnival's 133rd edition that kicked off on Saturday were led by the King of Energy, this year's theme, and followed notably by a huge Donald Trump with hair dryers trained on his crown of blond hair. (AP Photo/Henri Grivot)

PARIS — France's central bank chief says that presidential candidate Marine Le Pen's proposal to leave the euro currency would cost the country more than 30 billion euros ($32 billion) a year in extra debt interest.

Francois Villeroy de Galhau vigorously defended the euro on France-Inter radio Monday, warning voters not to believe Le Pen's nationalist promises of stronger purchasing power if France abandons the shared currency.

Villeroy de Galhau said leaving the euro would unleash high inflation, devastating individuals' savings.

A major question is how Le Pen would handle France's considerable debt. She said last week she would redenominate most of it into a new currency.

The central bank chief estimated that the extra debt interest would be over 30 billion euros a year, roughly equivalent to France's entire military budget.

Must Read

US president helps fuel surge in Mexican tourism...

Mar 14, 2017

Canada has seen a surge of visitors from Mexico since December when it lifted a visa requirement, a...

Trudeau declines to meet Trump because of US...

Jun 1, 2018

Canadian Prime Minister Justin Trudeau says he offered to go Washington this week to complete talks...

Trudeau: Canada to legalize marijuana on Oct. 17

Jun 21, 2018

Canadian Prime Minister Justin Trudeau says marijuana will be legal nationwide starting Oct. 17 in...

Canada tariffs on US goods from ketchup to lawn...

Jul 1, 2018

Canada retaliates against Trump's steel tariffs by taxing U.S. imports from ketchup to lawn mowers

French economy chief Macron, eyeing presidential...

Aug 30, 2016

French Economy Minister Emmanuel Macron, an outspoken former investment banker who has encouraged...

About Us

Banking Reporter is the largest-circulated online business news in the United States, bringing a whole new genre of business journalism more up close and more incisive.

Contact us: sales[at]bankingreporter.com

Subscribe Now!