Like most of Mediterranean Europe, France suffered under the economic and financial crisis that gripped the world in 2008. The country had to absorb high levels of private debt that became unsustainable after the crisis struck, driving up government spending and expanding public debt from 68 percent of gross domestic product in 2008 to a current level of 97.5 percent of GDP. France's debt levels dwarf those of northern European countries (Germany's rests at 69.4 percent, with the Netherlands at 61.4 percent) but lag behind some in the south (Italy's is 132.7 percent; Portugal's is 133.4 percent). With its Growth and Stability Pact, the European Union sets a debt target of 60 percent of GDP for member nations. While that figure is somewhat arbitrary, and the target is widely ignored, the principle is sound: High debt constrains a government's ability to maneuver fiscally, while increasing risk.