Story perspectives

France Reinstates Holidays Amidst Debt Crisis and Low Approval

9/15/2025

Summary

Lecornu Reinstates Holidays

Prime Minister Sébastien Lecornu has reinstated two public holidays, reversing a controversial decision by former Prime Minister François Bayrou.
He aims to tackle France's €3.3 trillion debt and 5.4% budget deficit while seeking bipartisan support for a new budget strategy.
Lecornu's approval rating stands at 16%, lower than Bayrou's initial ratings.
President Macron's approval has dropped to 17%, reflecting declining public support.
Lecornu will begin consultations for a "grand act of decentralisation" to enhance local authority powers next week.

Summary

Lecornu Faces Downgrade

Fitch downgraded France's sovereign credit rating to A+, the lowest ever, due to political instability and rising debt.
Prime Minister Sébastien Lecornu must draft a budget by October 7, with possible delays to October 13, amid a divided Parliament.
Protests occurred on Lecornu's first day, part of the "Bloquons tout" movement, calling for government shutdown and civil disobedience.
Lecornu may need to negotiate with the Socialists on tax and retirement reforms to secure support, risking division within Macron's party.
Fitch warns of potential further downgrades without clear debt stabilization; Moody's and S&P will review in October and November.

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Lecornu Reinstates Holidays

Prime Minister Sébastien Lecornu has reinstated two public holidays, reversing a controversial decision by former Prime Minister François Bayrou.
He aims to tackle France's €3.3 trillion debt and 5.4% budget deficit while seeking bipartisan support for a new budget strategy.
Lecornu's approval rating stands at 16%, lower than Bayrou's initial ratings.
President Macron's approval has dropped to 17%, reflecting declining public support.
Lecornu will begin consultations for a "grand act of decentralisation" to enhance local authority powers next week.

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