French president vows to continue reforms

PARIS, March 19 (Xinhua) -- French President Nicolas Sarkozy said on Wednesday that France would continue reforms, giving priority to stimulating employment, strengthening economic competitiveness and improving state modernization.

Sarkozy made the announcement in an address to the new cabinet after a mini-reshuffle.

On Tuesday, the French president created six new junior posts and widened the mandate of 12 ministers, including Finance Minister Christine Lagarde, who will take control of industry and employment.

The reshuffle came after Sarkozy's center-right Union for a Popular Movement party suffered a big setback in local elections over the weekend, the president's first electoral test since coming to power in May 2007.

"The elections were an expression of expectations, impatience and also questioning over whether commitments made during the presidential campaign will be kept, given the current economic climate which everyone sees as increasingly difficult," Sarkozy said in the address.

"The worst answer would be to slow down change," he said, adding the government should restore dynamism, innovation and confidence to society and the economy.

"There will be no change of direction, there will be no slowdown in reforms," he said.

Sarkozy put forward four priorities for the government in the following months relating to the economy and society -- to place employment at the center of public policies, to reinforce economic competitiveness, to improve state finances and modernization, and to better manage the pension, health and welfare program.

The president also highlighted the priorities of France's EU presidency in the second half of 2008: environment, agriculture, immigration and European defense.