(Bloomberg) -- Finance Minister Bruno Le Maire lowered France’s 2024 economic growth forecast to 1% and announced plans to cut spending by €10 billion ($10.8 billion). 

Le Maire revised the outlook for gross domestic product from 1.4% in a TF1 television interview on Sunday evening. The central government spending cut will be made across all ministries and some programs with immediate effect, in order to make up for the shortfall in output, the minister said. 

The move will allow France to maintain its target of lowering its deficit to 4.4% of economic output in 2024 from 4.9% last year, he said, reiterating a pledge not to raise taxes. 

“It’s still positive growth but it takes into account the new geopolitical context,” Le Maire said, citing the wars in Ukraine and the Middle East, a slowdown in China and recession in Germany. 

Le Maire had already telegraphed that a revision was coming, saying on Thursday that it would be a response to the worsening economic outlook for countries in the region. The European Commission has said it expects only 0.9% growth in France this year.

The effort to lower spending “will be spread out fairly,” Le Maire said in the interview, adding that supporting Ukraine and helping French farmers will remain funding priorities.

“I am committed to not increasing taxes. We have cut them and won’t deviate from this line,” he said. “French people can’t bear any more tax.”

Other areas of savings include development aid and a subsidy plan for insulating buildings, while healthcare and local governments will be spared, he said. A revised budget could be put forth in the summer if more savings are needed.

A deterioration in France’s economic prospects would be a major blow to President Emmanuel Macron, who is seeking to improve the country’s fiscal position without austerity or tax increases.

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