France's Lescure says French 2026 deficit seen near 5.4% if no budget passed
Newsquawk Staff · Newswires ·
France's Lescure says French 2026 deficit seen near 5.4% if no budget passed.
What it means
France's indication of a 2026 deficit near 5.4% highlights potential fiscal challenges ahead. If a budget is not passed, this could raise concerns about fiscal sustainability and might impact investor sentiment in the bond market, influencing yield curves and potentially affecting EU fiscal policy discussions. Market participants should monitor reactions, particularly in France's sovereign bonds and the euro, where expectations around fiscal policies could lead to volatility.
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