Finance minister warns riot-torn France could be 'headed for a wall' as its economy shrinks again ahead of weekend protests
Emmanuel Macron whose government's borrowing costs jumped to 4.944% on 10-year bonds after GDP shrank 0.1% — a contraction analysts had forecast as a 0.1% rise.A data graphic on France's economic performance, as investment contracted for a second consecutive quarter alongside the export slump.Riot police and protesters clashing on a Paris street on 24 October, as nationwide demonstrations over the cost of living are expected to resume on Saturday after that night's unrest was described as some of France's…Roland Lescure, whose finance ministry oversaw a period in which the eurozone as a whole grew 0.4% in Q3 2026 — double economists' forecasts — while France's economy shrank for the second time this year.
Finance minister Roland Lescure issued the blunt warning on Friday after official statistics agency Insee confirmed France's GDP shrank 0.1% in the third quarter — the second contraction of 2026. Inflation has simultaneously accelerated to 3.4% annually, the fastest pace since January 2024, with energy prices and the Iran war cited as key drivers.
Nationwide protests over the cost of living are expected Saturday, after demonstrations on October 24 degenerated into some of France's worst rioting in years.
Getting the 2027 budget through parliament may force Prime Minister Sébastien Lecornu to use a constitutional bypass — a move that risks no-confidence motions capable of toppling his minority government.
France's bond yields jumped 6 basis points to 4.944% after the GDP data landed, underperforming every other eurozone member.
