{
  "id": 12345533,
  "title": "France faces growing debt crisis as borrowing costs surge",
  "url": "https://urgent.news/2026/10/06/france-faces-growing-debt-crisis-as-borrowing-costs-surge",
  "topic": "finance",
  "section": "Finance & Markets",
  "published": "2026-10-06T09:28:20.000Z",
  "source": {
    "name": "Investing.com",
    "slug": "investing-com",
    "url": "https://www.investing.com/news/stock-market-news/france-faces-growing-debt-crisis-as-borrowing-costs-surge-93CH-4933724"
  },
  "original_language": "en",
  "account": "France is grappling with a growing debt crisis as borrowing costs surge to their highest level since 2002. The nation's 10-year borrowing rate has risen toward 5%, surpassing that of Greece and Italy. France faces over $1 trillion in debt coming due by 2030, with plans to sell a record $380 billion in debt next year. The central bank is reducing its bond portfolio as bonds mature. France's debt now stands at nearly 120% of its GDP. The finance ministry projects debt servicing costs will climb 59% by 2030. Debt payments now represent one of the government's largest expenses and could exceed military spending by the end of the decade. France has not balanced its budget since 1974. The selloff of government bonds intensified last week amid concerns over France's political divisions and the far-right candidate Marine Le Pen's pledge to lower the retirement age to 60, which could cost the state an additional 9 billion euros annually. Jean-Luc Mélenchon, a far-left rival, wants the European Central Bank to freeze or eliminate France's bond holdings, valued at 488 billion euros. The government's spending pattern involves requesting state funding to address problems, leading to fiscal scrutiny. Macron initially pursued fiscal reforms but later increased spending to address various crises, including the yellow-vest protests, Covid-19 pandemic, and energy crisis. The government also spent billions capping energy prices post-Ukraine war. Treasury officials warned Finance Minister Bruno Le Maire of a tax revenue shortfall, and the memo advised cutting spending in the 2024 budget by 300 million euros and an additional 10 billion euros at the start of the year. However, Borne did not inform the public and planned to pass the budget without a vote. Le Maire used executive orders to cut spending, but Attal opposed the approach. Macron dissolved parliament and called snap elections after his party performed poorly. The National Assembly is now divided between three blocs, and France's budget deficit is projected to reach 6.8% of GDP by 2030.",
  "summary": null,
  "key_points": [],
  "editors_take": null,
  "illustration": null,
  "coverage": {
    "outlets": 2,
    "also_reported_by": [
      {
        "outlet": "Euronews",
        "title": "France's sovereign debt crisis explained: How dangerous could it be?",
        "url": "https://urgent.news/2026/10/06/frances-sovereign-debt-crisis-explained-how-dangerous-could-it-be",
        "published": "2026-10-06T06:02:38.000Z"
      }
    ]
  },
  "ai_generated": true,
  "disclaimer": "Summaries, key points and the editor’s take are written by software from other outlets’ reporting and may contain errors — always check the linked original."
}