Kristalina Georgieva, IMF managing director, warned France on October 7 about its elevated debt levels, which have now reached heights comparable to Italy. The French 10-year borrowing rate hit 4.90%, its highest since 2002, with the spread versus Germany widening to 139 basis points. French public debt stood at 3,595.5 billion euros at the end of June, representing 119% of GDP, while the budget deficit reached 5.1% of GDP in 2025 and is expected to hit 5.4% this year. Emmanuel Moulin, governor of the Bank of France, described the situation as « serious » and warned that the country risked being « strangled by interest rates ».
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