French Economy Stagnates in Q2 as Persistent Deficit Complicates Budget Plans

France recorded zero economic growth in the second quarter amid rising interest rates and a steady public deficit, creating significant hurdles for the 2026 budget and future fiscal planning.

28 Aug, 12:49 — 28 Aug, 12:49

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le-mondeHigh4d ago

French economy stagnates as deficit persists, complicating budget plans

France posted zero growth in the second quarter after a first-quarter decline, INSEE said Friday, as the public deficit held steady and interest rates rose, complicating an already difficult 2026 budget and clouding prospects for the next one.

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French Economy Stagnates in Q2 as Persistent Deficit Complicates Budget Plans

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French economy stagnates as deficit persists, complicating budget plans

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