France’s national debt is projected to climb to an all-time high of 119.3% of <a s weakening public Finances, an organization responsible for assessing revenue and spending estimates within the government’s budget plans. Official data indicates that France’s debt-to-GDP ratio stood at 115.7% in 2025, a significant increase from the sub-100% levels recorded in 2019.
The ministry also stated that it anticipates closing the current year with a budget deficit of 5.4%. Prime Minister Sebastien Lecornu noted on Thursday that he expects the 2026 deficit to remain significantly lower than 5.5%.
Lecornu has unveiled plans for a €54 billion ($62 billion) austerity package to be included in the 2027 budget to prevent the deficit from spiraling. However, he faces a difficult challenge in passing these measures through a fragmented parliament, particularly as voters express growing frustration over the rising cost of living.
The premium France pays to borrow on bond markets relative to Germany climbed above one percentage point on Friday for the first time since the euro zone debt crisis. This shift highlights investor anxiety regarding the country’s strained finances ahead of next year’s elections.
