French President Emmanuel Macron appointed Prime Minister Sebastien Lecornu on September 9 and founded a new government on October 5.
After criticism of the government, Lecornu presented his resignation yesterday and was accepted by President Macron.
In order to leave the government crisis in the country, the various parties that form the opposition form the termination of the National Assembly, the appointment of a prime minister from the left, the resignation of Macron or dismissal, such as Macron, who resigned yesterday, the Prime Minister Sebast Lecornu to place a action platform to place the country to place the country.
“After a month after the appointment of Prime Minister Sebastien Lecornu, France resigned in the analysis of the global macro research organization. Expression forms were used.
While the political dead end in the country influences financial planning, the latest developments mean that the budget of 2026 reduced the opportunities for approval before the end of the year. For this reason, it is likely that France will start expanding the budget of 2025 for the new year, but it means that it not only restricts new attempts at spending, but also above all the reform efforts.
In addition, the possibility of a delay in the New Year's budget shows that the previously promised financial consolidation measures cannot be implemented, while the intended budget deficit, which is intended as 5.4 percent of gross domestic product (GDP) for 2025, will probably remain high.
While public debt is expected to continue to increase in the country, it is estimated that the debts will reach at least 116.7 percent of GDP next year and will increase from 113.1 percent in 2024. This trend puts France in the worst financial situation compared to EU countries.
According to the analysis, the budget in France is a problem for European civil servants, since in the coming weeks it is not expected to offer a budget. In this context, it is likely that the European Commission will take a harder attitude towards France and must ensure that the order of public finances should be provided.
While France is noticeable as an EU member state, which is currently the most serious political and financial challenges, these negativeities will seriously influence the economic expectations of the country in the upcoming quarters, as this leads to a “waiting time” between managing directors and households.
After a growth rate of 0.6 percent in 2025, GDP growth in 2026 should only be 0.8 percent, while this rate is below the European average.
In response to the resignation of Prime Minister Lecornu, the euro loses about half a percentage compared to the dollar, but the latest reflections in French politics in the foreign exchange market should be more of a unanimous situation than a factor that loses the euro.
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