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About France

France Population: 60,424,213 (July 2004 est.)
Languages: French 100%, rapidly declining regional dialects and languages (Provencal, Breton, Alsatian, Corsican, Catalan, Basque, Flemish).
Capital: Paris
Government Type: Republic
Independence Day: 486 (unified by Clovis), Bastille Day, 14 July (1789)
Legal System: Civil law system with indigenous concepts; review of administrative but not legislative acts.
Currency: euro (EUR)

Executive Branch:

Chief of State: President Jacques CHIRAC (since 17 May 1995).

Head of Government: Prime Minister Jean-Pierre RAFFARIN (since 7 May 2002) cabinet: Council of Ministers appointed by the president on the suggestion of the prime minister.

American Embassy: 2 Avenue Gabriel, 75008 Paris Cedex 08
Mailing Address: PSC 116, APO AE 09777
Telephone: [33] (1) 43-12-22-22 FAX: [33] (1) 42 66 97 83

General Overview: Although ultimately a victor in World Wars I and II, France suffered extensive losses in its empire, wealth, manpower, and rank as a dominant nation-state. Nevertheless, France today is one of the most modern countries in the world and is a leader among European nations. Since 1958, it has constructed a presidential democracy resistant to the instabilities experienced in earlier parliamentary democracies. In recent years, its reconciliation and cooperation with Germany have proved central to the economic integration of Europe, including the introduction of a common exchange currency, the euro, in January 1999. At present, France is at the forefront of European states seeking to exploit the momentum of monetary union to advance the creation of a more unified and capable European defense and security apparatus.

Economic Overview: France is in the midst of transition, from a well-to-do modern economy that has featured extensive government ownership and intervention to one that relies more on market mechanisms. The Socialist-led government partially or fully privatized many large companies, banks, and insurers, but the government retains controlling stakes in several leading firms, including Air France, France Telecom, Renault, and Thales, and is dominant in some sectors, particularly power, public transport, and defense industries. The telecommunications sector is gradually being opened to competition. France's leaders remain committed to a capitalism in which they maintain social equity by means of laws, tax policies, and social spending that reduce income disparity and the impact of free markets on public health and welfare. The current government has lowered income taxes and introduced measures to boost employment. The government is focusing on the problems of the high cost of labor and labor market inflexibility resulting from the 35-hour workweek and restrictions on lay-offs. The government is also pushing for pension reforms and simplification of administrative procedures. The tax burden remains one of the highest in Europe (43.8% of GDP in 2003). The current economic slowdown and inflexible budget items have pushed the 2003 deficit to 4% of GDP, above the EU's 3% debt limit. Business investment remains listless because of low rates of capital utilization, sluggish demand, high debt, and the steep cost of capital.

International Disputes: Madagascar claims Bassas da India, Europa Island, Glorioso Islands, and Juan de Nova Island; Comoros claims Mayotte; Mauritius claims Tromelin Island; territorial dispute between Suriname and French Guiana; territorial claim in Antarctica (Adelie Land); Matthew and Hunter Islands, east of New Caledonia, claimed by France and Vanuatu.