The unemployment rate in France has hit a new record high of 11.2 percent in June, data presented by the country’s Labor Ministry shows.
According to the data published on n Wednesday, the number of jobless French people reached 3.279 million in June, up 0.5 percent from May. It was the 26th consecutive month of rising unemployment. The revelation is another setback for the Socialist government, which is convinced that the jobless rate will decrease over at least two months before the end of this year. France is one of a few rich-world economies with a double-digit unemployment rate, other being eurozone members Spain and Italy, along with South Africa. The country has not only been hit with record high number of unemployed but it is also struggling with a worsened economy as it has barely grown in more than two years. On July 12, global ratings agency Fitch cut France’s credit rating from AAA to AA+, citing concerns about its debt burden, high unemployment rate and weak economic outlook. In an attempt to lower the country’s huge debt load, Hollande’s government has increased taxes and implemented several reforms and spending cuts; however, the measures have proven unproductive since the financial crisis in the eurozone has not been resolved and the 17-member bloc is still bogged down in recession.