France's President Emmanuel Macron. (Julien De Rosa/Pool Photo via AP)
\n\nThe economic challenges have intensified for France with public debt nearing 122% of gross domestic product (GDP) and economic growth forecast at just 0.4%, highlighting the strain on the euro zone’s second-largest economy.
\n\nThe combination of sluggish growth and elevated debt levels has intensified concerns over the country’s fiscal position, limiting the government’s room to manoeuvre as it seeks to control public spending and stabilise its finances.
\n\nAs President Emmanuel Macron nearing the end of his nearly decade-long tenure, the state of the country’s finances is also expected to be a key issue in the race to succeed him next spring.
\n\nFrance’s public debt stood at nearly 3.6 trillion euros (nearly $4.08 trillion) at the end of June, equivalent to 119% of its gross domestic product (GDP).The government has warned that the figure could rise further.
\n\nThree weeks ago, it said the budget would again exceed European Union spending limits, with public debt expected to reach nearly 122% of GDP, setting a new record, AP reported.
\n\nIn 2025, public expenditure accounted for 57.2% of the country’s economic output, according to Eurostat, the European Union’s statistics agency. The EU average was…
Original source: https://www.timesnownews.com/business-economy
