Concern continues in the circles of investor In relation to the viability of François Bairou’s government at France Following the latter’s request for a vote of confidence.
The far -right national alarm, the left -wing France and the Greens said they would vote against the September 8th proposal, while the Socialists said they would not support the government. If the majority of MPs vote against Bairo, he will be forced to submit the resignation of his government, which will escalate investor agony in the bond market in particular. The failure of another French government – the previous Prime Minister, Michel Barnier, lasted only 90 days – would underlined the fragile position of President Emmanuel Macron, whose party and his allies lost every trace of parliamentary. Voting, calls for new elections.
“Yes, it’s a risk, but the supreme danger is to do nothing,” Bairou told reporters during a press conference in Paris on Monday, August 25th. “There is no exit from this situation unless we are brave.”
The yield on the 10 -year French bond increased by nine base points to 3.51%, leading to losses in the global bond market. The country’s borrowing premium against Germany was widened by five basis points, closing at 75 basis points, higher than April and 65 in late July.
The yields of the 10 -year French counterpart are now one of the highest in the Union, having already overcome countries that were once in the heart of the European debt crisis, such as Greece and Portugal. The moves on Monday, August 25, 2025, left it about eight basis points below Italy.
A Barclays stock basket that includes companies that are more exposed to domestic risks in France, including state budget, fell 2.9% on Monday.
Bayrou is calling for a vote of confidence in an effort to consolidate support after facing reactions against costs of € 44 billion ($ 51 billion) and tax increases, which he considers vital to preventing the disaster. He also proposed the abolition of two of France’s public holidays, provoking the contempt for the opposition.
Bairou said that Macron had agreed to convene the parliament early again in order to allow the government to present its plan and to conduct a confidence proposal.
“Obviously we will vote against confidence in the government of François Bairou,” Lepen said in a social media post. “François Bairou has obviously not realized that the French are fully aware of the financial and financial crisis in which our country has sank after eight years of macronism.”
France’s internal problems intensify as Macron is fighting on the international stage. Last month, the French President went to the White House with German Chancellor Friedrich Mertz and UK Prime Minister Kir Starmer, among other things, to beg President Donald Trump to support Ukraine. European leaders are also in the midst of a strong trade dispute with the US.
The turmoil in Paris calls into question how much this government can last and whether Macron will be tempted to call for new early parliamentary elections to try to strengthen his support.
France’s next presidential election is scheduled for April or in early May 2027.
Bairou presented a preliminary outline of his budget for 2026 in July, in an attempt to gather support during the summer vacations. He made sure not to vacation, but to stay mainly in Paris and launch a YouTube channel called “FB Direct” to explain his choices about taxation and costs.
However, efforts have not been able to gain public opinion, and Bairo’s popularity has fallen to historically low for any prime minister during the Macron Presidency. The controversy is in danger of turning into protests on the streets, as a call on social media to “block everything” on September 10 has gathered support from several political groups.
“If the way we choose is to pretend that the problem does not exist, we will not escape,” Bairou said. “We will not escape as a state and society because our freedom and sovereignty are at stake.”