December 19, 2025, 11:00 a.mDecember 19, 2025, 11:00 a.m
In France, the divided parliament has failed to draw up a budget for the coming year. A mediation committee from both chambers of parliament was unable to agree on a compromise.
Sébastien Lecornu has been Prime Minister of France since September 2025.Image: keystone
Since it is no longer possible to pass the budget on time this year, Prime Minister Sébastien Lecornu is now expected to adopt a special law.
This temporarily authorizes the government to continue collecting taxes and making essential expenditures. This can bridge the time until a budget is passed at the beginning of next year. France had to resort to this regulation last year.
The collapsed budget negotiations in heavily indebted France are bad news for the economy of the important EU country. Without a budget, not only are public spending blocked for the time being, but companies also lack clarity for investments and hiring staff. (sda/dpa)
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