Budget impasse in France is bringing down governments one by one

France , the European Union's second-largest economy, is grappling with high public debt and a budget deficit, while its political crisis deepens. With its public debt-to-GDP ratio reaching 116%, the country is the third-most indebted member state in the EU, after Greece and Italy. This situation makes budget agreements impossible and shortens the lifespan of governments.

Finally, Prime Minister François Bayrou's government fell after failing to secure a vote of confidence in parliament over its 2026 budget. The opposition labeled the proposed budget, which included approximately €43 billion in savings, as "austerity measures." 364 MPs opposed the government, resulting in Bayrou's government lasting only nine months.

Since his 2022 election victory, President Emmanuel Macron has witnessed the fall of four prime ministers: Elisabeth Borne, Gabriel Attal, Michel Barnier, and Bayrou. The fragmented parliament, particularly following the snap elections in 2024, is hindering the formation of a strong and stable government. Parliament is divided into left-wing, far-right, and center-right blocs.

Macron now has three options: appoint a new prime minister, hold snap elections, or resign. However, analysts emphasize that which option will be implemented is uncertain and that France's political instability will not end in the near future.