France’s government budget deficit is expected to soar to between 7% and 7.5% of gross domestic product in 2009 and 2010, according to budget minister Eric Woerth.

France is the third-largest economy in Europe. France’s economy has been contracting for four consecutive quarters, with the jobless rate reaching a two-year high and still expected to rise until just over 10% in 2010.

The latest estimate released Sunday by Eric Woerth is higher than the previous estimate he announced just a week ago, when he said the deficit could reach 6%, and more than twice the 3.1% estimated by the government back in January.

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