The French Court of Auditors has issued a stark warning to the government, stating that France’s public finances are on the brink of derailment. A recent report outlines alarming trends in the country’s fiscal health, including soaring deficits and rising debt servicing costs. Pierre Moscovici, former finance minister, European Commissioner for Economic Affairs, and current head of the Court, urged immediate action, calling for €105 billion in savings by the end of 2029 to avoid a Greek-style financial crisis.
According to the report, France’s public debt servicing costs have doubled between 2020 and 2024. If left unchecked, these costs will soon surpass annual expenditures on education or defense—two major pillars of national investment.
France currently holds the largest budget deficit in Europe. To stabilize its finances, the country must achieve a primary surplus equivalent to 1.1% of its GDP over the coming years. When asked whether France could face a fate similar to Greece’s from 15 years ago, Moscovici acknowledged the risks but emphasized that timely reforms could prevent the kind of austerity imposed on Greece during its debt crisis. He also ruled out any possibility of France seeking assistance from the International Monetary Fund.
The warning underscores growing concerns about the sustainability of France’s fiscal policies amid economic uncertainty.