French Budget Deficit Explodes Into a Major Debt Crisis and Riots
The welfare state in France is coming unglued. An EU-wide crisis is coming.
Source: Mish Talk
―
DW NOTE
France ran a 6.2% deficit in 2024 against an EU ceiling of 3%. The government that tried to fix it collapsed. The government that replaced it just proposed €60 billion in tax hikes and spending cuts. Parliament hasn't passed a budget since July, and the bond market is now pricing French debt closer to Spain than Germany. Turns out you can't run an unreformed welfare state on borrowed money forever—eventually the lenders notice.