Austerity Measures, Markets' Confidence Loss… The Specter of a Greek-Style Crisis for France
French Prime Minister François Bayrou presented his public finance recovery plan as a necessary evil to avoid France suffering a crisis similar to the one Athens experienced 15 years ago.
'Comparing today's France to Greece in 2010 is undoubtedly excessive. We're not there yet,' Christian de Boissieu, professor emeritus at the Paris 1 Panthéon-Sorbonne University and vice-president of the Cercle des économistes think tank, said about the comparison François Bayrou drew during his press conference on July 15.
Was this image a way for the French prime minister to seek greater support for his rigorous public finance recovery plan? Bayrou presented the over-indebtedness as a 'curse' against which 'the Greek people, the Greek state, have been forced to make enormous sacrifices,' cutting pensions by '30%' and civil servant salaries by '15%.' 'That's exactly what we don't want,' Bayrou emphasized, pedagogically.
France is not there yet. Its deficit, standing at 5.8% of its GDP (gross domestic product) — the worst in the eurozone, admittedly — is still far from reaching that of Greece in October 2009. This had been the starting point of an acute debt crisis that lasted until 2015…
Hashtags
Try Our AI Features
Explore what Daily8 AI can do for you:
Comments
No comments yet...
Related Articles
France 24
an hour ago
- France 24
Man Utd agree 85m euro deal to sign Sesko: reports
The BBC, Athletic and Sky Sports reported United will pay an initial 76.5 million euros for the 22-year-old with a further 8.5 million euros due in add-ons. Newcastle were also interested in signing the Slovenian, possibly to replace wantaway star Alexander Isak, a target for Liverpool. However, Sesko has been wooed by the enduring stature of the 20-time English champions despite a lack of European football in the coming season. His arrival will complete an overhaul of the Red Devils' blunt attack. Only four other teams scored fewer than United's 44 goals in 38 Premier League games last season as the English giants endured their worst campaign for 51 years, finishing 15th in the table. Matheus Cunha and Bryan Mbeumo were signed earlier in the window, taking United's total spend on forwards in recent months to over £200 million. Sesko had also previously been linked with Arsenal after impressing during his two-year spell in Germany, where he scored 39 times in 87 appearances for Leipzig, including 21 last season. Standing 1.95 metres (6ft 4ins) tall, Sesko's towering physique, electric pace and eye for goal have earned comparisons with Manchester City's Erling Haaland. Like Haaland, he also made his name at RB Salzburg before moving to Germany in 2023. United are banking on Sesko realising his abundant potential to fire them back into contention at the top of the Premier League table. Between them, Sesko, Cunha and Mbeumo combined for 58 goals last season. The massive outlay on their arrivals needs to bear fruit quickly with United under pressure to meet financial sustainability rules, especially without the revenue of European football this season.
France 24
an hour ago
- France 24
Massive wildfire devastates southern France, dozens of homes lost
03:55 07/08/2025 'Wildfires in south of France becoming more widespread, challenging to manage over past 10-15 years' Europe 07/08/2025 Trump-Putin meeting agreed for 'coming days', Kremlin says 07/08/2025 South Africa braces for job losses as US tariffs kick in 07/08/2025 Flames threaten homes and livelihoods as southern France wildfire rages 07/08/2025 'Highest tariffs since Great Depression': In 1930's, trade plummeted and global depression deepened Americas 07/08/2025 Netanyahu's far-right coalition: What's next for the West Bank and Gaza? Middle East 07/08/2025 'Plastic pollution really begins when we're making plastics and extracting oil, gas from the ground' Environment 07/08/2025 France's Macron urges tougher line in standoff with Algeria 07/08/2025 France faces largest wildfire in decades
France 24
2 hours ago
- France 24
France to rule on controversial bee-killing pesticide bill
The so-called "Duplomb law" has sparked public anger for permitting a return of acetamiprid -- a chemical known to be toxic to pollinators, such as bees, and to the environment. A student-led petition against the bill garnered more than two million signatures after lawmakers adopted its reintroduction on July 8, when it was rushed through a deeply-divided lower house of parliament without a proper debate. President Emmanuel Macron has said he is waiting to hear the verdict of the Constitutional Council, which is expected to deliver its ruling on the constitutionality of the law at 6:00 pm (1600 GMT). If the law is upheld, Macron will have two weeks to enact it or request a second vote in parliament. Banned in France since 2018, acetamiprid remains legal in the European Union, and proponents say that some French farmers need it to help them compete economically. The insecticide is particularly sought after by beet and hazelnut growers, who say that they have no alternative against pests and face unfair competition. But the petition on France's lower-house National Assembly's website, which has garnered more than 2.1 million signatures, calls the measure a "frontal attack on public health". Beekeepers have described the chemical as "a bee killer", and its effects on humans are also a source of concern, though its risk remains unclear in the absence of large-scale studies. Left-wing lawmakers, who referred the bill for constitutional review, said it violates France's environmental charter which guarantees the "right to live in a balanced and healthy environment". For some opponents, frustration stretches beyond environmental and health concerns to exasperation over the country's political deadlock. One supporter of the petition called it "democratic revenge" after Macron forced a controversial pension reform through parliament in 2023 and dissolved the lower chamber last year, sparking political turmoil that resulted in a hung parliament. According to a poll published in La Tribune Dimanche in late July, 64 percent of people surveyed hope that Macron will not sign the bill into law but will instead submit it to a new debate in parliament. In late June, before the law's passage, several thousand demonstrators — including farmers, environmental organisations and scientists -- rallied across France calling for the bill to be withdrawn.
