France's budget gap at 12.5 bln euros

France's budget gap stood at 12.5 billion euros (16.5 billion U.S. dollars) in January, compared to 13.4 billion euros a year earlier, according to budget ministry's figures released on Friday. Over the period, French government revenue increased by 2.9 billion euros from a year earlier to 23.4 billion euros thanks to higher tax revenue. "At the end of January, the net tax revenues come up year after year. This positive development is consistent with the forecasts used in the last supplementary budget," the ministry said. As to public spending, France recorded 32.8 billion euros, up from 26.3 billion euros in the same period last year. However, "the increase ... is in conformity with forecasts of finance law amendment for 2012," the ministry said. The eurozone's second largest economy hopes to cut budget gap to 4.5 percent this year and to 3 percent in 2013. (1 euro = 1.3 U.S. dollars)