French Prime Minister Francois Bayrou survived two no-confidence motions on Wednesday, ensuring the adoption of the 2025 budget after months of political uncertainty. The vote follows Bayrou’s use of a constitutional provision to bypass parliament, a move that split the left-wing opposition.
Bayrou’s decision to force the budget through without a vote triggered opposition backlash but ultimately secured approval as the Socialist Party broke ranks with its left-wing allies and refused to support the no-confidence motion.
France has faced political instability since President Emmanuel Macron’s snap elections last summer, which left parliament divided into three opposing blocs. Bayrou’s predecessor, Michel Barnier, was ousted after attempting the same constitutional maneuver.
The budget includes €52 billion ($54.2 billion) in savings, preserving spending for healthcare and education, and marks a smaller adjustment than Barnier’s rejected proposal, which sought €60 billion in tax increases and cuts.
While Bayrou has stabilized the government for now, his administration still faces a fractured parliament and the risk of future no-confidence votes, including one over migration reform. Meanwhile, France remains out of compliance with EU fiscal rules, with a deficit projected at 5.4% next year.
The budget approval reassured markets, with French bond yields narrowing against German bonds. However, Moody’s recently downgraded France’s credit rating, citing concerns over long-term fiscal stability.
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