French lawmakers are set to vote on a no-confidence motion that could lead to the ousting of Prime Minister Michel Barnier's government. The motion follows Barnier's attempt to push through a budget for 2025, which aims to address France's significant budget deficit and align with EU rules.
The proposed budget includes €60 billion in tax hikes and spending cuts to reduce the deficit to 5% next year. However, some measures, like delaying pension increases, have faced opposition from various parties.
Barnier's use of a constitutional mechanism to pass the budget without a legislative vote triggered the no-confidence motions. Lawmakers from the left and far-right parties have joined forces to challenge his government.
If the no-confidence vote succeeds, it would create political turmoil in France, with Barnier becoming the shortest-serving prime minister in history. The country's political landscape is fragmented, making it challenging to form a stable government.
France's public finances have been strained, with government debt nearing 111% of GDP, the highest since World War II. The budget deficit is expected to reach 6.2% of GDP by year-end, well above the EU's 3% limit.
Global credit rating agencies have raised concerns about France's fiscal situation, warning of a possible downgrade if deficits are not addressed. The ongoing political crisis and economic challenges pose significant hurdles for the country's financial stability.
