France has accumulated an enormous amount of debt, and the government has to fear that the country will soon have to pay so horrendous interest that any hope of rehabilitating public finances is hopeless, by Julia Borutta.
France has accumulated an enormous amount of debt, and the government has to fear that the country will soon have to pay so horrendous interest that any hope of rehabilitating public finances is hopeless, by Julia Borutta.
The rising interest rates exacerbate France's debt problem. The Prime Minister warns of a financial crisis, but the opposition wants to block the budget in the run-up to the presidential election.
Recordly high deficits, rising interest expense, a backlog in reform, and uncertainty about the outcome of the presidential elections next year are confusing foreign investors.