French PM Bayrou sets December 27 deadline to build coalition amid budget crisis

French Prime Minister François Bayrou has set a December 27 deadline for political parties to decide whether to join his coalition government, back it tacitly, or oppose it.

Bayrou's comments, made in an interview with France 2 on December 19, underscore the mounting pressure to form a stable government ahead of critical budget decisions, Caliber.Az reports via foreign media.

“The government must be presented during the weekend, at any rate before Christmas,” Bayrou stated, as he seeks to secure broad support for his administration following his appointment last week.

Despite his best efforts, Bayrou faces an uphill battle in convincing the fragmented French political landscape to rally behind his government. While the centrist bloc of President Emmanuel Macron has expressed backing, Bayrou has yet to secure enough support from other key factions.

The right-wing Les Républicains have indicated a willingness to support him under certain conditions, but the prime minister remains short of a majority.

To gain a stronger foothold, Bayrou is courting the tacit support of Marine Le Pen’s far-right National Rally or parts of the pan-left New Popular Front coalition. This backing is crucial not only for political stability, but also for passing France’s delayed 2025 budget.

Reflecting on the challenges ahead, Bayrou is keen to avoid the fate of his predecessor, Michel Barnier, whose government was toppled just three months after taking office. Barnier's administration faced fierce opposition from both the National Rally and the New Popular Front, culminating in the rejection of his budget proposal earlier this month.

In a bid to sway opposition parties, Bayrou has proposed a review of Macron’s controversial pensions reform, which raised the legal retirement age from 62 to 64. While opposition parties, from the far-right to the pan-left, have fiercely criticized the reform, Bayrou firmly rejected calls to reverse it. He did, however, promise to limit the use of Article 49.3 of the French constitution, which allows the government to bypass parliament and pass laws without a vote in certain circumstances.    

Bayrou’s priority remains securing the passage of the 2025 budget, which faces a significant hurdle after Barnier’s proposal was blocked. The new prime minister has set a target for the budget’s adoption by mid-February 2024, amid growing concerns over France’s mounting fiscal deficit. This year, the deficit reached 6.2% of GDP, more than double the EU's permissible limit.

As a stopgap measure, France passed a temporary budget this week to avoid a US-style government shutdown. Bayrou emphasized that financial markets and the European Commission are closely monitoring the country's efforts to address its fiscal challenges.

By Aghakazim Guliyev